Gold prices are rising to a two-week high due to increased demand driven by global risk appetite and the strength of the Chinese stock market. The US Treasury’s reduced bond borrowing plans are fueling a rally in US indices, while signals from a WSJ journalist suggest a new risk for the Fed due to a sharp drop in inflation. Additionally, the Chinese market’s loss of investor confidence is boosting gold’s status as a defensive asset, despite its downtrend since the beginning of the year.
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European Shares Rise, U.S. Futures Slip, Oil Prices Edge Higher
European shares rose while U.S. futures slipped and oil prices edged higher. Hong Kong and Shanghai saw declines in property and technology shares. Investors are awaiting the Federal Reserve’s interest rate decision and corporate earnings reports, amid concerns about the troubled property industry and slowing growth in China.
read moreThe End of an Era: Investment Strategies in a Changing Market
The era of abundant returns for investors is over, according to Goldman Sachs strategist Peter Oppenheimer. He predicts a shift to lower yields in the coming years, attributing this change to a fundamentally different global landscape characterized by rising geopolitical tensions, increased protectionism, and growing state debt. Despite the optimism in current markets, Oppenheimer advises investors to focus on high-quality companies in emerging sectors and those with stable cash flows and dividends.
read moreGlobal Stock Markets Show Mixed Performance, US Reaches Record Highs
The DAX and XDAX are showing slight gains, while the US markets reached new highs with the Dow Jones, S&P 500, and NASDAQ 100 all posting gains. In Asia, the Nikkei 225 edged up, but the Hang Seng Index in Hong Kong experienced a significant decline. The bond and currency markets remained relatively stable, with slight fluctuations in the Bund-Future, Euro/USD, and USD/Yen rates, as well as moderate increases in Brent and WTI crude oil prices. The press review highlighted various political and economic developments, including discussions around the UNRWA, the German coalition government, and the European social welfare system.
read moreGerman Economy Faces Recession as Private Consumption Shows Signs of Recovery
The German economy is expected to enter a recession as the Gross Domestic Product is projected to decline further by 0.2%. Most sectors are experiencing a decrease in demand, with the industry and construction sectors particularly affected. However, there are signs of hope in the form of a slight increase in private consumption towards the end of 2023 and a projected further rise in the first quarter of 2024.
read moreMarket Strategist Predicts Significant Stock Market Crash and Year-Long Recession
Market strategist Jon Wolfenbarger predicts a severe stock market crash and a year-long recession in the U.S., citing economic indicators such as the decline of The Conference Board’s Leading Economic Index and an inverted yield curve. His forecast contrasts with recent optimism from other analysts, including BlackRock Inc., but aligns with concerns expressed by Mizuho and Amundi about the overvalued stock market and potential economic slowdown.
read moreEthereum Staking Surges as Liquid Supply Declines, Signaling Long-Term Investment Shift
Ethereum’s staking market cap has surged to $65.45 billion, with about 29.39 million ETH coins staked, accounting for nearly a quarter of the total circulating supply. Despite a decrease in staking yields, users are prioritizing stable returns over market trading, leading to a perception shift of ETH as a long-term investment asset.
read moreSmall-Cap Stocks Lag Behind, Indicating Potential Market Upside in Future
Small-cap stocks have been underperforming compared to large-cap stocks, which historically indicates potential future market strength. The S&P 500 has risen while the Russell 2000 has lagged, suggesting a positive outlook for stock performance in the next year. Historical data shows that after periods of small-cap underperformance, stocks have experienced above-average returns, pointing to a potentially bullish sign for the market’s future.
read moreEuro Falls Amid Speculation of Imminent Interest Rate Cut
The Euro fell sharply against the US Dollar and Swiss Franc due to speculation of an imminent interest rate cut by the ECB. This was fueled by comments from the French central bank chief hinting at rate cuts later in the year. Market experts anticipate the ECB’s first rate cut in April, while upcoming Eurozone growth and inflation data will influence future ECB policy.
read moreInterroll Reports Decline in Revenue and Orders for 2023
Interroll reported a 16.3% decrease in revenue for 2023, attributed to currency effects and customer inventory reduction in Europe. Despite improved sales in the second half, the company’s order intake weakened by 9.2%. Both revenue and order intake fell below analyst expectations, impacting profitability. The company’s CEO expressed confidence in the market’s fundamentals but acknowledged potential future challenges due to economic and geopolitical conditions.
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