Shanghai Composite index

Big Drop in Chinese Share Prices Doesn’t Set Today’s Global Market Tone

February 25, 2016

China’s Shanghai Composite index plunged 6.4% this Thursday after a sharp rise in overnight money rates there. But elsewhere, stocks climbed 1.4% in Japan, 1.0% in Taiwan, 0.3% in South Korea and in Europe now show gains of 3.2% in Greece, 2.6% in Spain, 2.3% in Italy, 2.4% in the U.K., 2.3% in France, 1.6% […] More

Grim News Keeps Piling On

January 28, 2016

The Chinese Shanghai Composite Stock index slumped another 2.9% overnight. Markets reacted adversely to the FOMC statement, which did not explicitly back away from December’s message that the fed funds rate is likely to climb a full percentage point in 2016 but indicated that risks are more skewed to the downside now than before. Economic […] More

Chinese Equities Record Second Largest Fall This Month

January 26, 2016

The Shanghai Composite index plunged 6.4% to a 13-month low and is now down almost 50% since last June.  Although the yuan is unchanged on the day, there’s much concern that it will devalue considerably further given the very high pace of Chinese capital outflows. In other equity market action around the Pacific Rim, stocks […] More

Markets Step Closer to the Abyss

January 15, 2016

West Texas Intermediate oil plunged 4.7% overnight on signs that sanctions against Iranian exports will be lifted next week, boosting world supply. Commodity-sensitive currencies like the Aussie and New Zealand dollars (down 1.7% each) and the Canadian dollar (off 0.9% against its U.S. counterpart) fell sharply overnight. China’s Shanghai composite index sank 3.6%, bringing its […] More

Dollar Marking Time Ahead of Today’s FOMC Announcement

July 29, 2015

The FOMC policy statement will be released at 18:00 GMT (14:00 EDT).  There is no press conference or release of updated forecasts.  No policy change is expected, but investors are unsure if the statement will provide clarifying information regarding the likelihood of a rate hike at September’s meeting.  I look for vagueness on that regard, […] More