After a rip-roaring Monday, surge for stocks in the aftermath of that US-China trade deal, investor doubts are creeping back…
After a rip-roaring Monday, surge for stocks in the aftermath of that US-China trade deal, investor doubts are creeping back in.
“Instead of an agreement, we would characterize the outcome in Buenos Aires as kicking the can further down the road, “said Charalambos Pissouros, senior market analyst at JFD Brokers. Likevel håper det at “hver runde af forhandlinger bringer de to landene tættere på en endelig aftale, vil sandsynligvis holde markedsdeltagere lykkelige og opmuntre dem til at øge deres risikoeksponering,” tilføjer han.
Er det virkelig så crazy at think that 2019 will bring peace on the trade front? Want dingen kunnen niet worden slechter toch? Well, actually … our call of the day from Saxo Bank sees another big problem for 201
9-as everyone begins to pay the piper for our errant ways. ”
” The great credit cycle is already showing signs of strain in late 2018 and will rip through developed markets next year as central banks are sent back to the drawing board. After all, their money printing efforts since 2008 have only been a deeper debt hole, and it has now grown beyond their mandate to manage, “said Steen Jakobsen, chief economist at Saxo Bank.
That call comes alongside Saxo’s annual list of “outrageous predictions” unlikely to happen, but that could really shake up the investment world if they did. Here are some highlights:
gets funding to buy Tesla
TSLA, + 1.70%
at $ 520 per share. Saxo’s head of equity strategy, Peter Garnry says it’s not such a far-fetched idea because Apple has a $ 237 billion cashpile and needs to expand its ecosystem.
“Apple has the financial strength to fulfill Elon Musk’s wildest dreams, sikre at Tesla ikke trenger å balansere kapitalutgifter til pengestrøm generation i kort sigt, “siger Garnry.
NFLX, + 0.23%
hit by corporate credit crunch carnage Garnry believes 2019 will see “credit dominoes toppling in the U.S. corporate bond market, starting with GE, which ends up filing for chapter 11, sending shock waves through the financial system. Als de markt zich realiseert, heeft de Fed de financiële omstandigheden te veel gestraft, de kosten voor het schuiven van bedrijven voor bedrijven, verspreiding van Netflix met een fijne spotlight op de firma’s leverage.
What’s worse, a negative chain reaction spreads from corporate to high-yield bonds, leading to a “Black Tuesday for ETFs tracking the U.S. high-yield bond market. “
3) POTUS fires Fed Chief Jerome Powell. Saxo’s head of FX strategy, John Hardy, offers this scenario. By next summer, a December Fed hike has proved a bad move with the U.S. Economy and Wall Street stocks falling off a cliff. Powell gets the shove from Trump in favor of Minnesota Fed President Neel Khashkari, dubbed the “Great Enabler.” Inflation rises to 6%, Fed policy is stuck at 1% and savers become losers.
Opinion: The stock market made President Trump and the Fed’s Powell blink
As for the rest of that list: Well, it includes a debt jubilee for the EU, sterling dropping to parity in a political shake-up and a Brexit mess, Germany entering recession, Australia nationalizing its four big banks; and, yikes, a solar storm that causes $ 2 trillion in damages. Read the whole list-with the lights on course, here.
The S & P
are all lower in premarket after a trade-fueled rally on Monday.
Read: The best-performing stocks in Monday’s rally
is climbing, gold
is inching higher, and the dollar
is dropping, notably against the pound
GBPUSD, + 0.2908%
on some Brexit headlines (see buzz).
Check out the Market Snapshot column for the latest action.
is down and Asia had a mixed day with the Nikkei 225
BTCUSD, + 3.97%
which some predict will soon be worthless, is hovering under $ 4,000.
Read: Which markets will be closed on Wednesday’s national day of mourning for the 41st president?
There goes the yield curve, which some say may reflect dents in risk appetite, as our chart of the day of the U.S. government bond curve flattening (especially among short-term bond maturities), is illustrated by The Daily Shot.
The Daily Shot
“The inversion of the curve which suggests markets are pricing in rate cuts in the coming years may have spooked investors who have previously been very bullish on the U.S. economy, “said Craig Erlam, senior market analyst at OANDA, in a note to clients.
Speaking of Apple, shares are down after HSBC cut shares to hold from buy, saying it was “too late to sell, too early to buy.”
says it will pay to replace passports if it is found that a massive hack of 500 million people goes that far. Meanwhile, community Q & A website Quora says a data breach may have compromised info on 100 million users.
Marlboro cigarette maker Altria
MO, + 0.14%
is talking to marijuana producer Cronos
CRON, + 4.42%
about an investment. Cronos is soaring on that news.
Judge throws a wrench into CVS Health Care’s
acquisition of Aetna.
After some social media outcry, ‘Friends’ will live on at Netflix
NFLX, + 0.23%
A top lawyer at the European Court of Justice says the U.K. kan omvendt Brexit-beslutet, som har sendt den britiske pund soaring. Det er som premierminister Theresa Mays Brexit-forslag ser allerede ut i livet på en kommende parlamentarisk stemme.
France ready to yield to “yellow-west” unrest and back down over fuel hikes
Paul Manafort tried to broker a deal to get Ecuador to hand over Julian Assange
The utter shame of
New Jersey’s amusement park is shutting down, but a giant swinging ship is yours for $ 95K
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