sue
IMHO
- Registrato
- 4/6/05
- Messaggi
- 20.240
- Punti reazioni
- 781
Ri-buon giorno e buon trading a tutti.
Oggi tokio era aperta (-0,78%)
a chi piacciono i commenti eccone uno dei tanti (in inglese)
On Monday investors took a breather. On Tuesday they took some profits. Several factors weighed on the market's mind, but a mid-day rally in the semiconductor industry caught its attention and served as a diversion. Buyers stepped in and sent the indices to solid gains, but the enthusiasm did not last. Semiconductors retraced their steps, and, by late afternoon, the market had fully erased intra-day gains.
Fed Chairman Bernanke's speech, which he delivered last night to the Economic Club of New York, was the first item behind the early bearish bias. As expected, his talk focused on the yield curve. The market had hoped that he would provide some insight into the direction of monetary policy, though, and he did not. Expectations for a rate hike next Tuesday remain; we continue to foresee another one in May, and we do not think that the possibility of a third should be dismissed. The fact that the core rate of the Producer Price Index rose a more than expected 0.3% in February did not help matters today. That increase followed a 0.4% rise in January, and is somewhat disconcerting. The two above-trend gains have pushed the year-over-year gain in core PPI to 1.7%. That figure is not worrisome, but a similar gain in March could foster concerns over tight resources and pricing pressures.
The data, juxtaposed with the argument that Bernanke's speech emphasized the economy's strength, fed interest rate worries. Those concerns, anticipation of the FOMC decision, a lingering sense of uncertainty, and technical factors led to a sell-off across the Treasury market. Last week, improvements in bond yields drove the stock market's advance. Today, the benchmark 10-year rose to a 4.72% yield. Yields were up across the curve, and the Treasury
Oggi tokio era aperta (-0,78%)
a chi piacciono i commenti eccone uno dei tanti (in inglese)
On Monday investors took a breather. On Tuesday they took some profits. Several factors weighed on the market's mind, but a mid-day rally in the semiconductor industry caught its attention and served as a diversion. Buyers stepped in and sent the indices to solid gains, but the enthusiasm did not last. Semiconductors retraced their steps, and, by late afternoon, the market had fully erased intra-day gains.
Fed Chairman Bernanke's speech, which he delivered last night to the Economic Club of New York, was the first item behind the early bearish bias. As expected, his talk focused on the yield curve. The market had hoped that he would provide some insight into the direction of monetary policy, though, and he did not. Expectations for a rate hike next Tuesday remain; we continue to foresee another one in May, and we do not think that the possibility of a third should be dismissed. The fact that the core rate of the Producer Price Index rose a more than expected 0.3% in February did not help matters today. That increase followed a 0.4% rise in January, and is somewhat disconcerting. The two above-trend gains have pushed the year-over-year gain in core PPI to 1.7%. That figure is not worrisome, but a similar gain in March could foster concerns over tight resources and pricing pressures.
The data, juxtaposed with the argument that Bernanke's speech emphasized the economy's strength, fed interest rate worries. Those concerns, anticipation of the FOMC decision, a lingering sense of uncertainty, and technical factors led to a sell-off across the Treasury market. Last week, improvements in bond yields drove the stock market's advance. Today, the benchmark 10-year rose to a 4.72% yield. Yields were up across the curve, and the Treasury