All Posts (10732)
Sort by
The independent fiscal watchdog's prediction that GDP will grow 2.1pc in 2011 now looks optimistic, say economists, who expect the figure to be slashed when new forecasts are released alongside the Budget on Wednesday,
The November forecasts from the OBR, led by Robert Chote and appointed by George Osborne to scrutinise the Government finances, has been "overtaken by events and will probably be significantly modified", said Stephen Lewis, chief economist at Monument Securities. http://www.telegraph.co.uk/finance/budget/8392876/Budget-2011-Official-UK-growth-forecast-to-be-slashed.html
Today is also options expiration and often a positive day. The early portion of the week saw massive selling killing the call buyers while the second half of the week has seen a surge higher, taking money from the put buyers. This is classic options expiration whipsaw from the institutional players.
Commodities are jumping higher with gold and silver leading the charge. The SPDR Gold Trust (NYSE:GLD) is trading at $138.53, +1.56 (+1.14%) while the iShares Silver Trust (NYSE:SLV) is trading at $34.23, +0.72 (+2.15%). It appears that as the G7 intervenes in the currency markets, more people feel like currencies are not worth holding, thus buying gold and silver. Throughout history, intervention has rarely worked out for the best when it comes to the markets. It usually creates more problems down the line.
A majority of stocks are nicely higher with a few exceptions. Technology shares are slightly weaker compared to their counterparts in the S&P500 and Dow Jones Industrial Average. Worries surfaced again about Steve Jobs as rumors over him officially leaving the company surfaced. Apple Inc. (NASDAQ:AAPL) is trading at $331.77, -2.87 (-0.86%).
While the markets remain solidly higher, Wall Street continues to be nervous. Compared to a month ago, there are hot beds of major issues everywhere. The Middle East, Japan, Europe and more. This means traders will expect choppy wild trading for the near term as new information is constantly being priced into the markets. To gain more hardcore analysis, swing trades and education, join the Research Center. Take the free trial today.
Gareth Soloway
Chief Market Strategist
www.InTheMoneyStocks.com
LONDON (AP) - Britain's unemployment rate has risen to 8 percent as the number of people out of work reached a 17-year high of more than 2.5 million, an official report said Wednesday.
Gains in the number of people working in the private sector were not enough to offset growth in the labor pool and public sector job cuts, causing the increase in the unemployment rate, the Office for National Statistics said. http://www.canadianbusiness.com/markets/market_news/article.jsp?content=D9M0ANE81
On Tuesday, the Federal Reserve will be holding its next monetary policy meeting and Fed officials will have to start discussing whether asset purchases should continue or expire in June.
http://www.fx360.com/commentary/kathy/5107/usd-fomc-preview.aspx
