Report
EUR 9.28
For Business Accounts Only
http://track.com/articles/the-morning-track-wannacry/
Those prepared for the worst may be wanting to cry as the market seems content to wait out cyber attacks, missile launches and political intrigue for simpler returns. If it wasn’t for oil prices jumping 3% thanks to Russia and Saudi comments on extending cuts in output 9 months seemingly at odds with the China data missing the mark (Industrial Production weaker, investment lower, sales in line) – there would be no doubts about continuing the long carry, short volatility, long equity trading game. We all know that markets can remain illogical far longer than we can remain liquid. The weekend N.Korea missile launch was a yawn and the talk of WannaCry hitting 1.3mn computers further from its Friday 200,000 doesn’t quite playout for risk, while the China One-belt-One Road plan sparks further hopes for growth and for owning EM rates and commodities as global trade turns to China from the US leadership. The G7 finance ministers all agreed to work to strengthen their econom
ies and refrain from competitive devaluation – though trade and US policy wasn’t so clear – with fair not free trade. The German NRW election was another blow for Schulz and the SPD leaving the September 24th election Merkel’s to lose. All of this continues the trade that started 2 weeks ago with the first round of the French election – the EUR/USD is going up with 1.1060 the next target and 1.0957 the May 8 resistance breaking today. Global growth bouncing back and beating US growth is the key story, with the underbelly being the China role in this theme. This may be nothing or it could be the start of a new round of risk on for markets as its Monday with only light data in the US to drive US rates leaving this the perfect time to climb the wall of worry.
The Morning Track wannacry
- The Morning Track - WannaCry? by Bob Savagehttp://track.com/articles/the-morning-track-wannacry/
Those prepared for the worst may be wanting to cry as the market seems content to wait out cyber attacks, missile launches and political intrigue for simpler returns. If it wasn’t for oil prices jumping 3% thanks to Russia and Saudi comments on extending cuts in output 9 months seemingly at odds with the China data missing the mark (Industrial Production weaker, investment lower, sales in line) – there would be no doubts about continuing the long carry, short volatility, long equity trading game. We all know that markets can remain illogical far longer than we can remain liquid. The weekend N.Korea missile launch was a yawn and the talk of WannaCry hitting 1.3mn computers further from its Friday 200,000 doesn’t quite playout for risk, while the China One-belt-One Road plan sparks further hopes for growth and for owning EM rates and commodities as global trade turns to China from the US leadership. The G7 finance ministers all agreed to work to strengthen their econom
ies and refrain from competitive devaluation – though trade and US policy wasn’t so clear – with fair not free trade. The German NRW election was another blow for Schulz and the SPD leaving the September 24th election Merkel’s to lose. All of this continues the trade that started 2 weeks ago with the first round of the French election – the EUR/USD is going up with 1.1060 the next target and 1.0957 the May 8 resistance breaking today. Global growth bouncing back and beating US growth is the key story, with the underbelly being the China role in this theme. This may be nothing or it could be the start of a new round of risk on for markets as its Monday with only light data in the US to drive US rates leaving this the perfect time to climb the wall of worry.
Provider
Track
TRACK.COM is an independent platform for investment research and market ideas. TRACK.COM research and analysis is used daily by hedge funds, proprietary trading desks, central banks and institutional asset managers to make investment decisions. These clients view Track.com as a trusted partner – our real-time research is thoughtful, well organized and right on target.
Robert Savage
Other Reports from Track
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.