Tag Archives: New England Patriots

Our Two Cents – Week of 1/23/12

There’s nothing better than kicking off the week on some high notes—especially coming off last night’s victory from the New England Patriots, sending them to the Super Bowl.

In the U.S., optimism remained the key theme last week. Jobless claims dropped 50,000 to 325,000—down from 402,000 last week—marking the lowest level since April 2008 and the biggest drop since September 2005. Experts said the sharp decrease illustrated signs of an upward-ticking economy. According to new survey results, 40 percent of wealthy Americans have optimistic thoughts about the U.S. economy in 2012, the highest level of optimism in six months. The findings came from the December 2011 Ipsos Mendelsohn Affluent Barometer, which examines lifestyles, spending patterns and media habits of wealthy Americans (those whose household income is $100,000 or more). While wealthy Americans signaled their optimism for 2012, the hedge fund industry also displayed early signs of a good year. In terms of inflows, more than half of investors planned to boost their hedge fund investments this year, according to a Barclays survey. In the Forex world, U.S. client profitability has increased on average 6.4 percent in Q4 of 2011.

Signs of economic confidence even transcended the Atlantic to Europe. Spain enjoyed a successful auction of benchmark 10-year bonds that investors gobbled up. In Italy, Prime Minister Mario Monti said Germany—in its own self-interest—must assist Italy and other embattled euro zone nations to help lower borrowing costs. Monti heralded Germany’s

“culture of stability” as “a precious German product [that] has been marvelously exported.” In Greece, officials and private creditors continued to devise solutions for its debt, nearing agreements to write down 50 percent of the face value of the country’s debt by exchanging existing bonds for newer ones with longer maturities and lower interest rates. Officials are expected to meet Jan. 23 to further discuss and resolve Greece’s debt.

 

 

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Be sure to read the full risk disclosure before trading Forex. Please note that Forex trading involves significant risk of loss. It is not suitable for all investors and you should make sure you understand the risks involved before trading. Performance, strategies and charts shown are not necessarily predictive of any particular result. And, as always, past performance is no indication of future results. Investor returns may vary from Trade Leader returns based on slippage, fees, broker spreads, volatility or other market conditions.

While Tom Brady of the New England Patriots was throwing incredible numbers on the field Sept. 12 against the Miami Dolphins, the world financial markets continued to fumble. Here’s the highlight reel of top headlines from last week:

Federal Reserve Chairman, Ben Bernanke, is expected to unveil some options aimed at spurring the economy, including what’s being called “operation twist” – a move where the Fed would sell short-dated Treasury debt and use the proceeds to buy long bonds. The act is unusual—though it helped a bit in the 1960s—but many feel the economic needle wouldn’t move positive without the help of Congress and action on President Barack Obama’s jobs plan.

Beneath Capitol Hill, it’s no surprise Americans are depressed about the economy as results from a recent survey reveal factors such as high debt, fear of inflation and worries of falling home prices as some of their concerns. According to a recent study by CardHub.com, Americans in the second quarter of 2011 accumulated a whopping $18.4 million in credit card debt – 66 percent more than the same quarter in 2010 and 368 percent more than the second quarter of 2009. The study also said Americans would end 2011 with about $54 billion more in credit card debt than they started with at the beginning of the year. As plastic continues swiping in the U.S., Europe’s debt crisis continues swooping. The European Central Bank and other central banks opened new lines of credit to organizations for longer periods than before, hoping such an initiative to jumpstart Europe’s financial flounders. All eyes will be on Greece this week for the next chapter in the country’s fiscal crisis as it continues teetering on the brink of default. With all the toil and trouble in the markets, many investors are wondering what to do with their portfolios, including seeking diversification and investments not correlated to the stock market. Perhaps they should explore mimicry.

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Be sure to read the full risk disclosure before trading Forex. Please note that Forex trading involves significant risk of loss. It is not suitable for all investors and you should make sure you understand the risks involved before trading. Performance, strategies and charts shown are not necessarily predictive of any particular result. And, as always, past performance is no indication of future results. Investor returns may vary from Trade Leader returns based on slippage, fees, broker spreads, volatility or other market conditions.