Article Archives (2019)

Markets resume their broad rebound, powered by strong Apple earnings even as the number of Corona Vorus cases in China exceeds that of SARS in 2002. Bear in mind that firms in the Hubei area are prevented from resuming work until Feb 13 at the earliest, which could further impact the national and global supply chain. As we move today's Fed decision, market is currently pricing in a 28% chance of a cut in June, rising to 77% in September. US interest rates haven't moved much in the past decade but the Fed has struggled most in one scenario: Doing nothing. Policymakers are clearly and explicitly on the sidelines heading into Wednesday's decision but if their past habit is any indication, then staying there will prove to be tough. Meanwhile, in US politics, Bernie Sanders regains the lead among his Democrat peers.