“Higher for longer” has become the mantra of the powerful central bankers in recent months. Monetary policy is likely to remain restrictive longer than originally expected. Regardless of whether the major central banks will follow up with a final interest rate step in autumn, the interest rate peak has probably been reached and “the worst” is behind us.
The stock markets are also usually a little quieter during the summer months. Many market participants take a break due to holidays and the general activity decreases. In any case, a look at some important charts indicates that no nasty surprises are to be expected during the holidays.
The soaring US dollar is causing problems in countries outside the USA. In Japan, the Yen has weakened considerably recently because, unlike the other central banks, the Bank of Japan is sticking to its ultra-loose monetary policy. Against this backdrop, the meeting of the Japanese central bank next Friday will be more in focus than usual.
This week, the highly acclaimed Jackson Hole Economic Symposium will take place. Fed Chairman Jerome Powell’s speech will be the center of attention.
The reporting season with the largest US banks started on Wall Street last week. Their results give a good impression of how the previous year went and what trends can be identified for this year.
The US earnings season is back in full swing. The first results for Q3 of 2018 are promising, particularly in the banking sector.
This blog entry will discuss three scenarios for the coming quarters and the coming year.
This week we held our monthly Investment Committee meeting. Although only little has changed with regard to the overall economic picture, we were having a few interesting discussions that we would now like to share with you.
The most important central bank in the world, the Federal Reserve of the USA, has announced a historic decision as a result of its FOMC meeting on 20 September: the central bank balance sheet, hugely inflated in the wake of the bond purchase programme, will be gradually reduced from October onwards. Generally speaking this is […]
The Trump administration should be keeping the financial markets on their toes in the coming weeks. Yet again, the issue is the government debt which will soon reach its statutory maximum.