Larry's Blog

American Political Challenges in the 1950s and Now

August 9, 2022

The Communist Party was banned by law in the United States in 1954, not because of the type of social constructions its adherents supported, but rather because of the seditious and undemocratic world that communist movements aimed to create, a condition that left no room for political parties beyond the dictatorial one in control and […] More

New Overnight Developments Abroad - Daily Update

Investors Looking Ahead to Important Price Data

August 9, 2022

In market action overnight, The dollar marked time, sliding 0.3% against the euro, 0.2% on a weighted DXY basis, and 0.1% relative to the Swiss franc and peso. The dollar also edged up 0.2% against the Australian dollar and 0.1% versus the yen and Canadian dollar. U.S. stock futures fell around 0.3%. Major European bourses […] More

New Overnight Developments Abroad - Daily Update

Dollar Down as Investors React to Surprisingly Strong U.S. Jobs and Chinese Trade Data

August 8, 2022

All economic upswings end eventually, but better-than-forecast economic data releases on Friday and Saturday have persuaded investors that a downturn in the United States and world economies is not a clear and present danger. U.S. congressional movement closer to a broad bill to counter global warming has also buoyed optimism. The dollar, which has for […] More

Foreign Exchange Insights and Next Week

Next Week’s Menu: August 6 – 12, 2022

August 6, 2022

Central Banks: Monetary policy reviews are scheduled in Peru, Sebia, Thailand and Mexico. Japanese Holiday: Mountain Day on Thursday. Scheduled U.S. Economic Data Releases: Quarterly productivity and unit labor costs. Monthly CPI, PPI, import prices, Fiscal budget deficit, small business sentiment, IBD/TIPP optimism index, and U. Michigan August index of consumer confidence. Weekly chain store […] More

Central Bank Watch

Reserve Bank of India Raises Interest Rate

August 5, 2022

The Reserve Bank of India engineered a third hike of its policy interest rate, lifting such by 50 basis points to 5.40%. This matched June’s incremental rise, which had followed an initial 40-basis point increase in May. The rate is now at its highest level since September 2019. A released statement explained today’s move: With […] More

New Overnight Developments Abroad - Daily Update

Investors Treading Water Ahead of U.S. Monthly Release of Jobs Data

August 5, 2022

Market movements: U.S. stock futures and the dollar are barely changed.  Likewise, the prices of gold and West Texas Intermediate crude oil have dipped just 0.2% and 0.3%, although the latter has now retreated roughly 29% from its 52-week high set in early March. Bitcoin rallied 3.4%. The Reserve Bank of India engineered a third […] More

Central Bank Watch

British Interest Rate Hike

August 4, 2022

The Bank of England’s 50-basis point interest rate hike to 1.75% also matched expectations, but the decision was not a unanimous one. Committee member Tenreyro preferred an increase of 25 basis points, the size of the previous four increases done in February, March, May and June. The Bank of England’s initial rate hike last December […] More

New Overnight Developments Abroad - Daily Update

Marking Time Ahead of Friday’s U.S. Employment Situation Report… Bank of England Projects Recession

August 4, 2022

The dollar edged 0.1% lower against the euro, Swiss franc, and on a weighted DXY basis. The dollar also fell 0.5% versus the New Zealand dollar and 0.3% relative to the Australian dollar. There was no net dollar movement overnight versus the Japanese yen, Chinese yuan or Canadian dollar. The weakest major currency has been […] More

Central Bank Watch

Brazil’s Selic Interest Rate Hiked 50 Basis Points to 13.75%

August 3, 2022

The monetary policy committee at the Central Bank of Brazil, known as Copom, today implemented its twelfth interest rate hike since March 2021. After cutting the rate by 250 basis points during 2020, the rate level when normalization began was 2.0%. Seven increases during 2021 had totaled 725 basis points, and today’s move was the […] More

New Overnight Developments Abroad - Daily Update

Taking Stock of the Mixed Signals of Recent Developments

August 3, 2022

Investors breathed a sigh of relief that the Pelosi visit to Taiwan is over but continue to worry that adverse geopolitical repercussions will outweigh any symbolic benefits. In its present fragmented political conditions, America could do without the trio of elevated tensions with Russia, China, and the Middle East. Yesterday’s primary U.S. elections demonstrated the […] More

css.php