Tag Archives | Aribica

coffee-maker - rally

Mixed Signals Could Cap the Rally

Mario Draghi surprised the markets saying that the ECB is done on lowering borrowing costs for now. Initially the reaction on the announced plan of lower rates and to increase the bond purchases making corporate bonds eligible was negative to the Euro, but after Draghi’s speech the currency reversed and had a strong rally of […]

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Brazilian real coffee

Brazilian Real Distances Selling Interest

China will to eventually run bigger budget deficits giving not to let GDP growth fall much more and to keep its objective to reach higher per capita income – shadowing Moody’s lower credit outlook of the country’s debt. A more benign macro environment encouraged investors to buy risky assets expecting further help from Central Bankers […]

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Coffee beans cup plate saucer - risky assets

Correlation only with the Fall of Risky Assets

Central Banks of the G20 met last week to discuss their efforts to shore up the economies re-enforcing their will to keep stimulus measures although not being more specific about which ones and their timing. In China the PBoC today cut the reserve-ratio rates of the banks helping stock markets to recover in Europe while […]

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Black and white cups black pencils - coffee rally

Fear Fades and Coffee Rally Helped by the FX

China signaled it does not have interest to make the Yuan weaker and the FED on its minutes from the last meeting acknowledged that the recently turmoil of the financial markets will be taken in consideration on its decision of further interest rate hikes. Saudi Arabia, Russia, Venezuela and Qatar shared their thoughts of keeping […]

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Coffee roasted beans - trading funds

Trading on Fund’s Position Changes

US job creation in January was below expected but still above the 150K mark that most economists say to be enough to keep the unemployment rate low. The increase on average hourly gains was read as a signal that the FOMC might eventually consider tightening on its March meeting as inflation shall not ease. At […]

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latte coffee machine liquidity

Carry-Trade on More Liquidity

The Bank of Japan (BoJ) took interest rates to negative territory fulfilling its “promises” from Davos on further monetary easing (liquidity). On last week FOMC’s statement the committee acknowledged the financial market turmoil saying it would assess how it would impact its dual-mandate. Today the vice-chairman commented that the turbulence will be factored on March’s […]

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black coffee - macro shaky

Funds Shoretening and Marcro Shaky

FUNDS SHORTENING AND MACRO SHAKY On Davos last week central banks’ presidents did their job in talking about further “support” for the markets (China) and a potential new wave of liquidity easing (ECB and BoJ). The rhetoric was enough to halt the selling mode that investors were on and provoked a capitulation that drove equities […]

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Restaurant red beans coffee in China

Fear of slower growth in China

Weekly Coffee Perspective – Jan 11th to 15th of 2016 – Week 2 – China The markets are having a serious indigestion after the end year meals. In China the PBOC setting the Yuan range lower several days drove most risky-assets lower not only on expectations of further devaluations but also as a signal that […]

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new coffee love

Happy New Year

Stock market indices in 2015 ended in the positive territory in most of the countries in Europe as well as in Japan, while in the US the S&P500 lost 0.73%, the Dow Jones -2.123% and the NASDAQ gained 5.73% – all considering local currencies. If you convert the performances in USD some like the DAX […]

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