California has just entered its fourth year of drought — a slow-rolling crisis that is showing no signs of abating. All of California is now affected, with more than half of the state considered to be in “exceptional” drought, the worst designation handed out by the U.S. Drought Monitor.
Growth worries about Europe and Ebola headlines provide the unsettling backdrop for today’s stock market action. Stock have faltered lately, with a combination of global growth worries and Fed policy uncertainty weighing on sentiment.
Today the dollar gave up much of its Friday's gains that were driven by stronger than expected U.S. employment situation report. We haven't seen such volatility in currency markets in some time. What happened?
The ongoing tax inversion debate in the U.S. can be summed up in two phrases: “patriotic duty” and “competitive for business.” But after Treasury Secretary Jacob Lew released new tax rules to govern tax inversions, it became clear that tax inversions are really about something else.
When it comes to the stock market, there are some justifications for the level we are at. My first response to those who don't believe we've had any type of recovery, or that the stock market shouldn't be this high, is to bring up corporate profits.
Near-term caution on the market was echoed again by our most recent technician on the show, Louise Yamada, as the major indexes attempt to stabilize. She sees “continued deterioration” in a number of key indicators beyond what we’ve seen so far this year and believes this may be the start of a cyclical correction of around 10%.
With few exceptions, commodity prices have fallen sharply in recent months, to their lowest levels in over a year. Relative to stock market indices, broad commodity indices are now at their lowest levels since the late-1990s dotcom boom.
The third quarter had its share of intrigue for the capital markets. Thank you Russia. Thank you Scotland. Thank you oil. Thank you central bankers. Thank you Alibaba Group (BABA). And thank you (but not literally) ISIS.
The ongoing strengthening of the U.S. dollar could shift the FOMC further into dovish territory. While the labor situation continues to improve, the dollar's recent appreciation has contributed to declines in inflation expectations (based on TIPS breakevens) to multi-year lows.
Financial regulation in the U.S. today would have been unrecognizable six years ago, when Lehman Brothers had just been liquidated and AIG was bailed out. The Dodd-Frank Act, along with the Basel Accords, has fundamentally changed how financial institutions treat risk...