Tag Archives: newsletter

The dollar rebound continues; odds of a near-term stimulus bill in the US are falling; ahead of inflation readings later this week, the US holds a 10-year auction today Bank of Canada is expected to keep policy steady; Mexico reports August CPI; Brazil reports August IPCA inflation The Brexit fallout widens; UK will have trouble striking new trade deals if it can’t be counted on to honor its past agreements; no surprise then that sterling remains under pressure...

In an August editorial, the New York Times called for an investigation into the attack on Russian dissident Aleksei Navalny, who was recently transported to Germany in a coma after apparently being poisoned. No one knows who did the poisoning, but the Times has strong suspicions: A hit on so prominent a figure, with the inevitable eruption of global and domestic fury, would presumably require sanction from the highest echelons of power….Mr. Putin has certainly shown...

Swiss Franc The Euro has risen by 0.07% to 1.0774 EUR/CHF and USD/CHF, September 10(see more posts on EUR/CHF, USD/CHF, ) Source: markets.ft.com - Click to enlarge FX Rates Overview:  A strong recovery in US stocks, a softer dollar, and higher gold and oil prices may signal the end of the brief though dramatic correction, but the market is in a bit of a holding pattern ahead of the ECB meeting.  Most of the major equity markets in the Asia Pacific region...

The sell-off in stocks last week showed a certain nervousness about the sharp run-up in tech stocks and the role of big option bets. Indeed, prices in some instances had risen too fast. But this was a technical correction. With the US tech titans generating free cash flow, we do not believe we are facing a repeat of the bursting of the dot-com bubble in 2000.  And yet, it could be that Tesla’s ambition to raise USD5bn through occasional share sales will be seen as...

Valcambi says it is cooperating with NGOs in Peru (picture shows an area in the Madre de Dios province) to improve the working conditions of artisanal miners. Copyright 2018 The Associated Press. All Rights Reserved. The Swiss-based Valcambi refinery has rejected accusations about gold dealings with a controversial company in the United Arab Emirates. Chief executive Michael Mesaric said the claims by the non-governmental Swissaid organisation were unfounded. In a...

The ECB meets tomorrow and is widely expected to stand pat. Macro forecasts may be tweaked modestly and there are some risks of jawboning against the stronger euro, but it should otherwise be an uneventful meeting. Looking ahead, a lot of room remains for further ECB actions. We expect the ECB to increase QE at the December 10 meeting. However, another rate cut seems very unlikely, as does activation of OMT. POSSIBLE NEXT STEPS 1. Jawbone the euro weaker – POSSIBLE...

Interview with Theodore Deden Claudio Grass (CG): Looking at the damage inflicted upon supply chains, production facilities and global trade in particular, how quickly could these operations snap back even if all COVID-related restrictions were lifted tomorrow? Do you think we’ll eventually get back to business as usual, or have we now experienced a permanent shift to a “new normal”? Theodore Deden (TD): Forget about the legal COVID-related restrictions. If it were...

In the wake of the economically disastrous covid-19 shutdowns, the political class has desperately tried to save the failing euro system. On July 21 European leaders agreed on what they called a “historic” deal. It was nothing more than a multitrillion euro stimulus package. However, it is more probable that the “recovery fund” will delay any chance of a much-needed economic restructuring taking place. What it will do is waste scarce resources and capital while...

Swiss Franc The Euro has fallen by 0.03% to 1.0802 EUR/CHF and USD/CHF, September 9(see more posts on EUR/CHF, USD/CHF, ) Source: investing.com - Click to enlarge FX Rates Overview:  News that the AstraZeneca Phase 3 test had to be stopped to study the adverse reaction of one subject added to the uncertainty of investors amid one of the more significant reversals of risk appetites since March.  Equities continued to slump in the Asia Pacific region, with many...

Zurich, 09 September 2020 – Art Basel and UBS today published a 2020 mid-year survey ‘The Impact of COVID-19 on the Gallery Sector’ written by renowned cultural economist Dr. Clare McAndrew, Founder of Arts Economics. The survey findings present an analysis of how the COVID-19 pandemic has impacted 795 galleries operating in the Modern and contemporary gallery sector, representing 60 different markets across all levels of turnover, throughout the first six months of...