Starting in November, the Fed launches a monthly purchase program of short-dated US government bonds with a volume of 60 billion Dollars per month. Is this the return of the QE? The Fed denies this. With these purchases, it is primarily trying to provide the necessary liquidity at banks and shadow banks after the recent panic on the repo market. Will this trigger another crack-up boom for the Fed? The leading index S&P 500 went up to 3000 points yesterday due to the Brexit euphoria. But the US futures were lower after the US House of Representatives passed a resolution on Hong Kong that the Chinese government sharply rejected last night. Is the almost absurd situation now arising that the arsonist is no longer the Trump in the trade war?
The yield curve of US government bonds has inverted again this morning in European trading. It is an indicator of future economic developments which is particularly closely watched by the US Federal Reserve. The US […]
Both Gold and equities started the week higher after Fed Chairman Jerome Powell in an interview made optimistic statements about the US economy. Above all he said that the Fed’s ammunition is practically infinite and […]
Early last week, U.S. equity markets experienced a rapid sell-off with an 800-point loss at the Dow Jones. But then the rally was immediately back on track. On the one hand, there was optimistic news […]