The duration of COVID-19 and its results

For economics, COVID-19 is a matter of crowd psychology rather than virology. The aggressiveness of the markets is a reflection of how impatient people are. Going into the crisis, things were really pretty good. Of course, there is always a long list of problems, but unemployment was at a record low in the United States […]

The events that we will keep an eye for this week

This week’s main focus will be on the Federal Reserve meeting on Wednesday, with investors looking for clues as to how much more incentives, if any, may be needed. The US calendar also includes CPI data, unemployment claims and consumer sentiment. Investors will continue to watch the rising yield curve amid the sale of US […]

Government stimulus plans fuel further gains in global stocks

Global equities have gained further momentum as investors take heart from the easing of lockdowns and governments prepare another barrage of spending to prop up a sputtering global economy. Investors have been cheered in recent weeks by a deluge of… You need ・Varchev Trading Club・ membership subscription to enter this page. (19.90€ / monthly; 199€ […]

Stocks Keep Rallying, Despite Lack of Visibility on Economy

The coronavirus pandemic has upended expectations for corporate earnings and economic growth, so obscuring the outlook for financial markets that some investors say it is as if they are flying blind. In ordinary times, many investors consider earnings projections a critical factor in determining what shares are worth and look to forecasts for metrics such […]

Credit Suisse forecasting full recovery until end of 2021

Credit Suisse’s global equity strategists just issued fresh guidance to stock investors: The near term doesn’t look great, but the next year looks promising. That long-term bullishness informs the firm’s recommendation to buy stock-market dips when given the opportunity. It may take a while for solid gains to materialize, but Credit Suisse said such a […]

Bets Against the Stock Market Rise to Highest Level in Years

Short sellers have revived their wagers against the stock market in recent weeks, taking their most aggressive positions in years. Bets against the SPDR S&P 500 Trust, the biggest exchange-traded fund tracking the broad index, rose to $68.1 billion last week, the highest level in data going back to January 2016. Short sellers borrow shares […]

Market had entered a new phase after the initial shock

Stocks fell Wednesday after President Trump issued a stark new warning on the spread of the novel coronavirus in the U.S., reviving concerns about the potential damage to the world’s largest economy. Trump warned that the U.S. could face as many as 240,000 deaths as he asked Americans to brace for an unprecedented crisis in […]

Market volatility will remain common place in the near future

U.S. stocks swung between gains and losses Wednesday after lawmakers and the White House reached an agreement on a $2 trillion stimulus package, extending what’s been one of the market’s most volatile periods in recent memory. Uncertainty about the pandemic and its trajectory, combined with a spike in trading volumes, have contributed to big moves […]

Selloffs end when the problem that caused the selloff is under control

A key issue is the uncertainty surrounding what it will take to halt the fast-moving health crisis, and the economic fallout of such measures, investors say. Governments are using a range of strategies, from stringent lockdowns in Italy, France and Spain to looser recommendations of social distancing in the U.K. and much of the U.S. […]