Whats happening President Trump is parading the fed once again saying we need negative Interest Rates because we are of course in a monetary war and a trade war with around the world hes pointing to europe having negative rates and that we cant compete with europe if we dont have negative rates against china of course hes always saying china manipulates their currency and they we have an free fair trade with them and here is a headline about that from china looking at the United States china u. S. Rivalry on brink of becoming a quote financial war former minister says the growing rivalry between china and the United States is at risk of becoming a financial war a former chinese finance minister said on saturday way chairman of the Foreign Affairs committee of the chinas people political consult of conference e p p c c National Committee he said quote the next step in the frictions between china and United States is a financial war it is characterized by the use of long arm jurisdiction
Excuses the block specific enterprises such as the bans on z t e and huawei of finance or the women talked about for a while finally the mainstream is kind of getting it to the side trying to figure out what exactly does it may and this pressure to go to negative Interest Rates is a stall just on steroids other words trump is saying we want to go back to the 20th century and the way to get there when america was pretty dominant and we want to get there by going backwards in time and the only way can do that is if you were to revalue the worth of time and take it from having a positive linear Going Forward positive Interest Rate having a negative Interest Rate remember europe is stuck in the past its a museum nothing ever happens there and thats what a donald trump would like to do would like to go back to the 1960 s. And 1970 s. When america was great and disco was was was on the turntable of course america. Runs their empire as an empire of debt and all of that debt is backed by deriv
You see a little bit of haven buying here today. Treasury yields pretty much lower by about a basis point across the curve, led by the 10 year. Guy in terms of the session, we are at session highs in europe when it comes to equities. 600. On the stoxx london is outperforming. We are seeing some of the hotel stocks at the top of the pile, but every sector is in positive territory. Stocks are trading a little but higher. The pound is higher. The conservative party continuing to maintain a significant lead over the opposition rivals ahead of the election, up next month. The tory manifesto over the weekend, though, in some ways does raise the risk of a no deal brexit. That is certainly not being priced in today. Weck up to 1. 29 again track back up to 1. 29 again. The Turkish Military starting to test the russianmade Missile System. They turned it on, basically. This may raise the risk when it comes to sanctions, so the turkish lira down by 0. 4 , the dollar up against this turkish lira. R
Euro instantly snuff approaching the 110 level and keep an eye on the german 10year and the president s speech could have a Significant Impact and it really is very hard to read event. And certainly the bull market here in europe, sitting tight and waiting to see what comes out of it. Vonnie . Vonnie as we wait for the economic speech and powell speaking thursday, were joined by kumar, the Global Strategies president to tell us what we might expect. What could cause the markets to move today . You need President Trump to Say Something totally unexpected, vonnie. The usual things, the economy is doing very well, we expect growth to continue to be very rapid. Thats what hes going to say. And that hes making very Good Progress in terms of dealing. Th the chinese it he has to say hes going to sign an agreement on a certain day and hear some of the things he agreed to and on the other hand explain why it is the economy is going to do very well in the year 2020. I dont expect it. You ask for
These currencies very much in play with a lot of news. Not Much Movement on the euro, even though we have mario draghi. Not exactly painting a pretty picture of what is happening with the eurozone economy. Positione leaves the to be taken by Christine Lagarde. Perhaps he will be most remembered for his remarks about saying he will do whatever it takes to save the euro. Sterling edging one dollar 20 tenths as we get more 1. 28 asty edging we get more uncertainty. Gold is up. We have seen a runup with it. Today is perhaps indicative of a risk being taken off of the table. Just need over five dollars 500 to buy one ounce. Lets get over to new york. We have su keenan with the first word news. With japanese economy minister issue super maura. He has resigned after allegations of suspected violations of Campaign Finance laws. To stalle doesnt Want Parliament with debate about his own issue. Hes the first member of Prime Minister shinzo abes new cabinet. This after being appointed in septembe