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The market is in full swing now that the hurricane has passed

The financial market, meanwhile, is very complex. This is bad news if, you might say, you are a journalist who has just been assigned to cover weekly topics under this heading. Just wanting to argue.

For many other people, however, it is a blessed relief. In March 2020, when the plague hit and the markets collapsed, people outside the financial crisis were more likely to keep themselves and their families safe, and to get canned food, instead of worrying about money counts.

But this instability is affecting the world, as the Bank of England reminded us recently blog post. “The financial market is showing signs of economic change. But sometimes they grow them too, “the central bank said. In other words, the markets can exacerbate the problem, increase the amount of money paid for anyone who wants to repay new loans.

To understand this point, our blog takes us back to what happened in the spring last year when markets were forced to eat the biggest economic downturn from the global recession. The cost of dangerous, unsurprisingly, he fainted.

Advances in design and technical expertise and rapid financial management have made the fall stronger.

Retailers in the retail market often need to send more money to their counterparts – a demand that reached the middle of March 2020. This led to more sales. Focusing too much on how counting requests are calculated, and keeping an eye on the negative risks that come from them, can be a good practice, the blog suggests.

In addition, large sums of money are forced to lay off jobs. Funds, especially those looking at companies, received redemption requests. Fulfilling requests promptly as promised was a challenge for funds that are difficult to sell. Above that, the outflow hit 5% of what is controlled by labor unions in March, the biggest demand since the global financial crisis. Again, for the money, the only answer was: selling bonds, in a hurry.

Betting on hedge funds, which are very profitable in good times but quickly destroys bad ones, is also painful, as is the intense pressure on banks that help to sell in various categories.

All of this calls for “further research” the blog says, if we are to avoid the same problems that may occur in the future. Last time, the heavy intervention of central banks was the one that ended the rot.

March 2020 was a terrible example of stress, in fact. However, and that this moment has been remembered lately, it is encouraging, in other words, that nothing comes close to the temporary distance being played here. This, in turn, contributes to the decline in the economy and provides the world’s economy with a respite from the epidemic.

How quiet is it? Absolute Strategy Research reports that the S&P 500 trade show in U.S. stocks has deteriorated in smaller trading groups over the past few weeks. It moved more than 1 percent on both sides in just one day throughout June. Even so, it fell off and I jumped at the same rate for days on end, the reason being laundry. New peaks are closer to everyday life, but they are slowly approaching.

In money, the word also sleeps. “It simply came to our notice then [major currency] the sessions of the year were fruitless, ”wrote Alche Ruskin, a legal expert at Deutsche Bank.

“It is still clear that the euro could record its annual decline against the dollar since the fall of Bretton Woods,” he said. The common European currency is probably following a “similar history” against the yen. Even ordinary trades, such as the Australian dollar against the yen, are also falling asleep.

And all this before the summer.

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Even cryptocurrencies, which become unexpected sources of information, are asleep. After a dramatic share in the price of bitcoin earlier this year, prices have stabilized at around $ 33,000 pop tests. Some true believers do second Crypto Winter has stabilized, equivalent to the long-term delay of the end of the last season in 2017.

This, of course, can change with one tweet from Elon Musk. But in a world of fixed-income groups, with the exception of high inflation or Delta variant curveball, deceptive stability looks like hope for the coming months.

Among other things, says Karen Ward, a European market chief at JPMorgan Asset Management, it is due to the confidence of medium-sized retailers willing to deal with the risks. “Also, we are still on the same path,” he said. The big question about the length of inflation, as well as how it is explained, will take months to answer. “That doesn’t add anything to the story,” he said recently. “We could be at the end of the year before we know it.”

Enjoy the silence. It is “meaningless”, as the commentator described the experts of the Bank of America. “But you are not selling a difficult market.”

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