September 02, 2011

Market Wrap For The Week Ending 2-September-2011

Here is our latest issue of market insights. Enjoy!

In This Week's Issue
• Weekly Snapshot
• Weekly Barometers
• Weekly Chart
• Recommended Read

Weekly Snapshot
• Investors rushed into safe-haven Treasuries again; 10-year yield near 2% (WSJ)
• 2-year Greek government bond yields rose above 47% on Friday (Bloomberg)
• U.S. nonfarm payrolls were unchanged in August, unemployment rate held at 9.1% (BLS)
• Brazil's GDP growth slows 0.8% in 2nd quarter as boom fades (Reuters)
• Brazil unexpectedly slashed its key interest rate to 12% from 12.5% (Reuters)
• Euro area unemployment rate remained unchanged at 10.0% in July 2011 (Eurostat)
• Eurozone inflation remained unchanged at an annualized 2.5% in August (Eurostat)
• China widens reserve ratio for banks to limit inflation (Bloomberg)
• U.S. home prices increased by 3.6% in the second quarter of 2011 (Standard&Poor's)
• U.S. consumer confidence slumped to 44.5, the weakest since April 2009 (Bloomberg)

Weekly Barometers

st-2011-0902   fx-2011-0902

Weekly Chart 
The employment picture continues to be a major drag for the prospects of a sustainable economic recovery.  The chart below shows a particularly concerning element of the jobs picture: The long-term unemployed (red line).


More Signs Of The New Normal…
In view of the upcoming U.S. Labor Day, we’ll keep things a bit on the lighter side this week.  No commentary, just a selection of charts indicating the “new normal.” Enjoy! 

Ultra-low Rates
Higher Volatility
Sideways Markets
A Weakening Dollar
End of the Debt Super-Cycle?

Best wishes for a happy Labor Day week-end!

Neither the information nor any opinion contained in this communication constitutes a solicitation or offer by us to buy or to sell any securities, futures, options or other financial instruments or to provide any investment advice or service. Each decision by you to do any investment transactions and each decision whether a particular investment is appropriate or proper for you is an independent decision to be taken by you. In no event should the content of this communication be construed as an express or an implied promise, guarantee or implication by or from us that you will profit or that losses can or will be limited in any manner whatsoever. Past results are no indication of future performance. Please note that there is no requirement and no commitment to make any payments to FX Investment Strategies LLC in order to access our published information be it via email or via website publication. All information is publicly available without any required monetary consideration.  Any payments or donations made by you are deemed to be voluntary and cannot be considered as payments for investment advice given to you.

No comments: