U.S. Review
A Busy Week for Fiscal and Monetary Policy
- With three dissenters, the FOMC slightly tweaked its language describing the period of time between the end of the QE program and when the first rate hike would take place.
- November industrial production data showed an impressive pace of industrial output for the month, while October's data were revised higher. Housing starts fell a surprising 1.6 percent in November after posting a 1.7 percent increase in October.
- Consumer prices slid in November, declining 0.3 percent with energy prices pulling the headline index lower. Core prices edged higher a slight 0.1 percent for the month.
Global Review
With Ruble in Freefall, CBRF Pulls the Elevator Brake
- Under pressure from falling oil prices and feeling the pinch of economic sanctions, the Russian ruble has lost about 40 percent of its value on balance since September. When the rate of decline picked up speed this week, the Central Bank of the Russian Federation intervened by lifting its main lending rate 650 bps to 17.00 percent.
- In this week's Global Review we discuss the CBRF's response, we consider Russia's next move and how the collapse in the ruble might play out for Russia and its neighbors.
General Risk Warning for stocks, cryptocurrencies, ETP, FX & CFD Trading. Investment assets are leveraged products. Trading related to foreign exchange, commodities, financial indices, stocks, ETP, cryptocurrencies, and other underlying variables carry a high level of risk and can result in the loss of all of your investment. As such, variable investments may not be appropriate for all investors. You should not invest money that you cannot afford to lose. Before deciding to trade, you should become aware of all the risks associated with trading, and seek advice from an independent and suitably licensed financial advisor. Under no circumstances shall Witbrew LLC and associates have any liability to any person or entity for (a) any loss or damage in whole or part caused by, resulting from, or relating to any transactions related to investment trading or (b) any direct, indirect, special, consequential or incidental damages whatsoever.
Recommended Content
Editors’ Picks
EUR/USD clings to daily gains above 1.0650
EUR/USD gained traction and turned positive on the day above 1.0650. The improvement seen in risk mood following the earlier flight to safety weighs on the US Dollar ahead of the weekend and helps the pair push higher.
GBP/USD recovers toward 1.2450 after UK Retail Sales data
GBP/USD reversed its direction and advanced to the 1.2450 area after touching a fresh multi-month low below 1.2400 in the Asian session. The positive shift seen in risk mood on easing fears over a deepening Iran-Israel conflict supports the pair.
Gold holds steady at around $2,380 following earlier spike
Gold stabilized near $2,380 after spiking above $2,400 with the immediate reaction to reports of Israel striking Iran. Meanwhile, the pullback seen in the US Treasury bond yields helps XAU/USD hold its ground.
Bitcoin Weekly Forecast: BTC post-halving rally could be partially priced in Premium
Bitcoin price shows no signs of directional bias while it holds above $60,000. The fourth BTC halving is partially priced in, according to Deutsche Bank’s research.
Week ahead – US GDP and BoJ decision on top of next week’s agenda
US GDP, core PCE and PMIs the next tests for the Dollar. Investors await BoJ for guidance about next rate hike. EU and UK PMIs, as well as Australian CPIs also on tap.