Description: As market volatility continues, Jack Ablin, CIO of BMO Private Bank says one of the key drivers of the volatility – crude oil – could potentially hit $20 per barrel. And with the NASDAQ hitting 5,000 and the DOW and the S&P 500 reaching new highs, is Ablin still a long-term bull on U.S…. Read more »
Posts Tagged: Derivatives
Goldman Sachs CEO on the benefits of low oil
Description: Goldman Sachs CEO Lloyd Blankfein says low oil prices are a net positive for the U.S. economy. Source: CNNMoney.com – video report Date: Feb 24, 2015 Link: http://money.cnn.com/video/investing/2015/02/24/lloyd-blankfein-goldman-sachs-oil.cnnmoney/ Questions for Discussions: Why does Lloyd Blankfein believe lower oil prices are good for the economy? How should investors be expected to respond if his understanding… Read more »
The Hot New Statistic Oil Traders Are Eyeing Is 71 Years Old
Description: (Bloomberg) — It was like clockwork. Every week since 1944, Baker Hughes Inc. would release its survey of how many rigs were out drilling for U.S oil and gas. And every week, oil and gas traders would, for the most part, overlook it. Source: Bloomberg.com – video report Date: Feb 18, 2015 Link: http://www.bloomberg.com/news/articles/2015-02-18/the-hot-new-statistic-oil-traders-are-looking-at-is-71-years-old… Read more »
Citi: Oil Could Plunge to $20, and This Might Be ‘the End of OPEC’
Description: The recent surge in oil prices is just a “head-fake,” and oil as cheap as $20 a barrel may soon be on the way, Citigroup said in a report on Monday as it lowered its forecast for crude. Source: Bloomberg.com – video report Date: Feb 09, 2015 Link: http://www.bloomberg.com/news/articles/2015-02-09/citi-oil-could-plunge-to-20-and-this-might-be-the-end-of-opec- Questions for Discussions: Summarize the arguments for oil… Read more »
Oil rally is a “short squeeze” that won’t last: Trader
Description: Todd Horwitz, founder at AverageJoeOptions.com, joins The Close to explain why he believes the current rally in crude oil prices won’t last long. Though he suspects oil will eventually recover to $65 or $75 per barrel, he believes this rally won’t lift prices to those lofty levels. Source: BNN.ca – video report Date: Feb… Read more »
Currency trading isn’t for amateurs
Description: There should be a sign hanging outside the foreign-exchange market that reads: Amateurs need not apply. Source: CNNMoney.com Date: Jan 21, 2015 Link: http://money.cnn.com/2015/01/21/investing/fxcm-swiss-currency-trading/index.html?iid=HP_River Questions for discussion: Why is currency trading so risky, according to the report? Why does it attract traders?
Individual investors lose more than $400 million on bad Swiss currency bets
Description: In the wake of the 2008 market crash, a growing number of individual investors jumped into currency trading under the impression that it was a safer bet than stocks. On Thursday, investors learned just how wrong they were. Source: Fortune.com Date: Jan 16, 2015 Link: http://fortune.com/2015/01/16/swiss-franc-400-million-losses/ Questions for discussion: What are the lessons investors… Read more »
Humans Lose to Machines in $500 Billion-a-Day Bond Market
Description: Human traders are increasingly losing out to machines in the world’s biggest bond market. Source: Bloomberg.com Date: Oct 02, 2014 Link: http://www.bloomberg.com/news/2014-10-02/humans-lose-to-machines-in-500-billion-a-day-bond-market.html Questions for Discussions: How has technology affected bond trading, according to the article? Is this trend a problem for the markets, in your opinion?
Bill Gross quits Pimco: Why did he leave
Description: Bill Gross, co-founder and chief investment officer of Pimco, will join Janus Capital Group. Gross, who has presided over the world’s biggest bond fund for almost three decades, will start Sept. 29 at a new Janus office in Newport Beach, CA, and will begin managing the Janus Global Unconstrained Bond Fund on Oct. 6,… Read more »
Stocks break away from Euro on Draghi stimulus
Description: In today’s “Global Outlook,” Bloomberg’s David Ingles takes a look at the prospects for European markets on “On The Move Asia.” (Source: Bloomberg) Source: Bloomberg.com – video report Date: Sep 26, 2014 Link: http://www.bloomberg.com/video/draghi-put-stocks-break-away-from-euro-lN~c7DAvSPSTRmeEEnTPZg.html Questions for Discussions: Why do you think there has been a divergence between stocks and the Euro recently? Summarize the… Read more »