Apr 17


  • BY:
  • April, 17th, 2014 8:32 +00:00

Good morning,

US equities closed in positive for the third consecutive day and the financial community is incresing the probability of  a sudden change in the FED monetary policy. That would not be the first time considering that happended last year. The factor that would be considered the catalyst is that inflation is muted and improvements in the labour market have to be done.  It seems that only quantitative easing expectation can lift risky asset in this trading environment.  Money printing sooner or later will be absorbed and the so called wealth effect will shift in no effect on real wealth and a disillusion on the nominal one.

The S&P500 rose 19.33 points at 1,862.31 (+1.05%) and the DJIA 16,424.85 (+1.00%) gained 162.29 points. Nasdaq index closed at 4,086.22 (+1.29%), up 52.06 points.  The Nikkei 225 in Japan after Wednesday 3% gain today closed unchanged at 14,418. The CSI in Shanghai  lost 6.24 points at at  2,098 (0.30%). In Europe stock indices are slightly down and the Eurostoxx is at 3,132 (-0.20%), down 6.38 points and the DAX is losing 6.86 points at 9,310.96 (-0.07%).  In UK the FTSE is at 6,573,45 (-0.16%), down 10.72 points.

In the FX market EurUsd is trading in a 30 pips range today and now is at 1.3840 (+0.18%). UsdJpy is down 23 pips at 102 (-0.23%) and the Swiss Franc is gaining ground against the Greenback: UsdChf is trading at 0.8797 (-0.25%), down 21 pips.  GbpUsd  is gaining 38 pips at 1.6836 (+0.23%) and would be a bullish signal to close the trading week above 1.6820.

Gold at 1,299 $/oz  (-0.26%) is struggling to mantain 1,300 $/oz area and Silver at 19.57 $/oz (-0.52%) is underperforming the shiny metal. Crude Oil is up 21 cents at 103.97 $/barrel  (+0.20%) and Natural Gas is at 4.56 $/BTU (+0.66%).

Have a nice day