Get Markets Right

Equities – Which late night show are you watching ?

Nikkei 225 (7.874)  Topix (778)  Dax (4.267)  FTSE 100 (4.072) Dow Jones (7.922)  S&P 500 (822) Nasdaq Comp (1.483)  

My wife now and then complains about that I occasionally watch late night shows. Around 11 in the evening it gets exciting. I need to admit that some of them are good looking, tall, blond, present hot stuff, they look deep in your eyes and show very nice curves – Sorry, did I forget to say, that I am talking about “after the New York Stock Exchange closing bell” commentators and quests turning up on the business channels (late evening I like Bloomberg TV in particular, because of the US twist…

China – So far China mainland is upbeat.

Hang Seng (12.861)  Shanghai B (126,50)  USD/CNY (6,8475)

China mainland stocks continued up on the first on the first trading day after the Chinese Lunar New Year celebrations.

I have long argued that Chinese shares will be among the first to rebound when its time to go long again, but is it time now ?

Chinese mainland stocks have shown some strength since the low last year, but as always, are stock investors playing on the same hand as the Chinese government. The current positive sentiment is mainly due to trust in increased government support rather than healthy growth. This makes the position as investor more difficult and life after the stimulus packages even more unclear.…

Central bank rates – Another cut to save the world this week ……….

US Federal Reserve Bank: Now Fed is at 0,25% and it’s difficult to go much lower. They claim to have other methods to help the market (or you could read force the market) to get moving. Though it is not very healthy – creating a new credit bubble.

Bank of England: They will drive it as low as possible – another 50 basis points to 1,00% will come this week. Lower than the 315 year low….. 

European Central Bank: Priced in the market is a 2 step move down to 1,50%. Right know it feels like the way. From Mr. Trichets comments it is important to note that ECB won’t cut in February and next time…