Global Macro Perspectives
FED acknowledged the recent slowdown in economic growth but the committee believes slowdown is only temporary. Committee expects that the pace of recovery will pick up and inflation rate subside to levels at or below those consistent with the FED’s dual mandate.
Asset purchases will be completed this month.
No indications of any new policies (jet).
I’m taking a brake from blogging because additional obligations I’m having are consuming too much of my time. Will be back on June 6, 2011.
B.
Working gas in storage rose 92 Bcf from previous week. The consensus was at 90 Bcf.
Storage level is 170 Bcf lower than same time year ago and bellow 5-year average.
Down more than 4%….
I am shocked on the scale of commodity fall out today.
The markets felt like something’s up in the last couple day’s but this look’s absolutely overdone.
Even more weird is that stocks held up nicely.
It almost looks like something blew up (hedge fund, trading desk, somebody’s cross-asset hedges) and needed to wind down fast.
We will know in the coming days if something happened or this is self-fueled panic and margin induced sell-off.
I have put some light longs in the last hours of trading. Yeah…maybe not smart, but we are talking here about 4+ standard deviations moves (1 in 15,787 event, so expected to occur once in 43 years) so I felt tempted. Waiting for the commodity plunge protection team. Will close fast if this continues tomorrow.
We will see what happens.
As expected: rising commodity prices increased inflation but the effect are only transitory, asset purchase programs will be completed as scheduled, extended period formulation still here.
Back to 2007.
S&P affirmed U.S. credit rating – AAA (long term), but changed outlook from stable to negative.
Real time recreation of Yuri Gagarin’s pioneering first orbit, shot entirely in space from on board the International Space Station. The film combines this new footage with Gagarin’s original mission audio and a new musical score by composer Philip Sheppard.
ECB raised key benchmark rate to 1.25% from 1.00%.
Inflation is transitory (whatever that means), no sign of removing “extended period” formulation, asset purchasing program to be completed.
I am taking a break from the markets. Posting will be sporadic at best in the next week .
Good luck with your trading! I’ll be back with first days of April.
Bloomberg’s Rich Jaroslovsky reviews Nintendo’s new 3-D game player. The $250 Nintendo 3DS, which goes on sale in Europe today and the U.S. March 27 is the successor to Nintendo’s DS player. It’s the first mass-market gadget to feature autoscopic 3-D, a three-dimensional display that can be viewed without the need to wear special lenses.
Talking about strange twist of events… Markets not buying the story.
The United Nations Security Council approved a resolution authorizing international military intervention (any measures short of a ground invasion) in Libya.