{"id":27854,"date":"2017-11-11T10:32:26","date_gmt":"2017-11-11T15:32:26","guid":{"rendered":"http:\/\/olduvai.ca\/?p=27854"},"modified":"2017-11-11T10:32:26","modified_gmt":"2017-11-11T15:32:26","slug":"weekly-commentary-money-on-the-move","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=27854","title":{"rendered":"Weekly Commentary: “Money” on the Move"},"content":{"rendered":"

Weekly Commentary: “Money” on the Move<\/a><\/h3>\n
It\u2019s been awhile since I\u2019ve used this terminology. But global markets this week recalled the old \u201cBubble in Search of a Pin.\u201d It\u2019s too early of course to call an end to the great global financial Bubble. But suddenly, right when everything looked so wonderful, there are indication of “Money” on the Move. And the issues appears to go beyond delays in implementing U.S. corporate tax cuts.<\/p>\n

The S&P500 declined only 0.2%, ending eight consecutive weekly gains. But the more dramatic moves were elsewhere. Big European equities rallies reversed abruptly. Germany\u2019s DAX index traded up to an all-time high 13,526 in early Tuesday trading before reversing course and sinking 2.9% to end the week at 13,127. France\u2019s CAC40 index opened Tuesday at the high since January 2008, only to reverse and close the week down 2.5%. Italy\u2019s MIB Index traded as high as 23,133 Tuesday before sinking 2.5% to end the week at 22,561. Similarly, Spain\u2019s IBEX index rose to 10,376 and then dropped 2.7% to close Friday\u2019s session at 10,093.<\/p>\n

Having risen better than 20% since early September, Japanese equities have been in speculative blow-off mode. After trading to a 26-year high of 23,382 inter-day on Thursday, Japan\u2019s Nikkei 225 index sank as much as 859 points, or 3.6%, in afternoon trading. The dollar\/yen rose to an eight-month high 114.73 Monday and then ended the week lower at 113.53.\u00a0 From Tokyo to New York, banks were hammered this week.<\/p>\n

Perhaps the more important developments of the week unfolded in fixed-income. Despite the selloff in the region\u2019s equities markets, European sovereign debt experienced no safe haven bid. German bund yields traded at 0.31% on Wednesday, before a backup in rates saw yields close the week at 0.41%. Italian bond yields traded as low as 1.69% on Wednesday before closing the week at 1.84%. Spain\u2019s yields ended the week up 10 bps to 1.56%.
\n…click on the above link to read the rest of the article…<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Weekly Commentary: “Money” on the Move It\u2019s been awhile since I\u2019ve used this terminology. But global markets this week recalled the old \u201cBubble in Search of a Pin.\u201d It\u2019s too early of course to call an end to the great global financial Bubble. But suddenly, right when everything looked so wonderful, there are indication of […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[7756,195,1450,431,536,16967],"class_list":["post-27854","post","type-post","status-publish","format-standard","hentry","category-economics","tag-credit-bubble-bulletin","tag-debt","tag-equity-markets","tag-interest-rates","tag-money","tag-money-on-the-move"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/27854","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=27854"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/27854\/revisions"}],"predecessor-version":[{"id":27855,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/27854\/revisions\/27855"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=27854"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=27854"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=27854"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}