Video

Playlist

Show less
2:06
A closer eye on Fang stocks — #SaxoStrats
Kay Van-Petersen
06 August 2018 at 11:18 GMT
2:01
The week ahead in macro — #SaxoStrats
Kay Van-Petersen
06 August 2018 at 8:38 GMT
30:41
Macro Monday week 32: US & China inflation, RBA & RBNZ
Kay Van-Petersen
06 August 2018 at 7:39 GMT
15:29
From the Floor: Trading the trade war
#SaxoStrats
06 August 2018 at 7:32 GMT
10:18
From the Floor: EM, China feeling the heat
#SaxoStrats
03 August 2018 at 7:31 GMT
12:30
From the Floor: Why is TSLA up by 9.36%?
#SaxoStrats
02 August 2018 at 7:48 GMT
12:47
From the Floor: Trump ups the trade war ante
#SaxoStrats
01 August 2018 at 8:00 GMT
16:55
From the Floor: BoJ tweaks policy — #SaxoStrats
#SaxoStrats
31 July 2018 at 7:39 GMT
2:56
The week ahead in macro — #SaxoStrats
Kay Van-Petersen
30 July 2018 at 8:09 GMT
40:21
FX Options webinar: Volatility term structure
Dan Larsen
27 July 2018 at 10:18 GMT
Video / 16 April 2018 at 7:23 GMT

From the Floor: Risk in focus as USDJPY break falters — #SaxoStrats

#SaxoStrats
   • USDJPY struggling, GBP in focus on data, EURGBP technicals
   • Fed voter Bostic, non-voters Kashkari and Kaplan out today
   • G10 Surprise Index declines to levels not seen since mid-2017
   • Spread between US 10- and two-year bond yields at 11-year low
   • Moody's upgrades Spanish debt to Baa1 rating

SaxoStrats
By Michael McKenna

Markets saw limited initial fallout from the joint US/British/French strike on Syria, but with new Russian sanctions levied Saxo Bank head of forex strategy John Hardy says that risk sentiment and geopolitics remain very much front-of mind for investors as we head into a new trading week.

"The risk-linked USDJPY broke minor resistance Friday, but the pair ultimately headed to a soft close with the breakout attempt into the Ichimoku cloud not really holding," says Hardy. 

Elsewhere, sterling remains on the FX radar on the currency's recent strength into this week's data releases, most notably CPI on April 18, while Hardy reports that three Federal reserve speakers – non-voters Kaplan and Kashkari and voter Bostic – will be speaking today with possible consequences for USD direction.

USDJPY
Source: Saxo Bank

While the risk landscape, characterised as it is by fears of major power conflicts in Syria and the developing Sino-US trade war, remains a distinct headwind for equities, Saxo's Peter Garnry says that a "very, very short-term" uptick remains a distinct possibility.

"Risk-reward is bad on equities as European data lead the 'macro disappointment' trend," reports Garnry, adding that Citi's G10 surprise index has declined to levels not seen since June 2017.

In single shares, Garnry says that Tesla sentiment remains negative with sell-side analysts seemingly abandoning the stock in the wake of reports that the firm may be concealing the number of injuries occurring at its factories. As for the corporate earnings season, Garnry says that sentiment on Wells Fargo, Citi, and JPMorgan was soft Friday despite encouraging numbers, a trend that he expects to see continue.

Netflix and Bank of America report earnings today ahead of the New York bell.

Finally, Saxo Bank fixed income specialist Althea Spinozzi reports that US 10-year yields hit 2.83% Friday as the spread between 10- and two-year yields flattened to 46.6 basis points, the lowest level seen since 2007.

On the ratings front, Spinozzi says that Moody's has upgraded Spanish debt to Baa1 while Fitch and S&P maintain an A- rating on the country's bonds.

Michael McKenna is head of editorial content at Saxo Bank
24 April
Jadira F. Norton Jadira F. Norton
US/British/French attack on Syria, good info. on the tentative break USDJPY's

Disclaimer

The Saxo Bank Group entities each provide execution-only service and access to Tradingfloor.com permitting a person to view and/or use content available on or via the website is not intended to and does not change or expand on this. Such access and use are at all times subject to (i) The Terms of Use; (ii) Full Disclaimer; (iii) The Risk Warning; (iv) the Rules of Engagement and (v) Notices applying to Tradingfloor.com and/or its content in addition (where relevant) to the terms governing the use of hyperlinks on the website of a member of the Saxo Bank Group by which access to Tradingfloor.com is gained. Such content is therefore provided as no more than information. In particular no advice is intended to be provided or to be relied on as provided nor endorsed by any Saxo Bank Group entity; nor is it to be construed as solicitation or an incentive provided to subscribe for or sell or purchase any financial instrument. All trading or investments you make must be pursuant to your own unprompted and informed self-directed decision. As such no Saxo Bank Group entity will have or be liable for any losses that you may sustain as a result of any investment decision made in reliance on information which is available on Tradingfloor.com or as a result of the use of the Tradingfloor.com. Orders given and trades effected are deemed intended to be given or effected for the account of the customer with the Saxo Bank Group entity operating in the jurisdiction in which the customer resides and/or with whom the customer opened and maintains his/her trading account. When trading through Tradingfloor.com your contracting Saxo Bank Group entity will be the counterparty to any trading entered into by you. Tradingfloor.com does not contain (and should not be construed as containing) financial, investment, tax or trading advice or advice of any sort offered, recommended or endorsed by Saxo Bank Group and should not be construed as a record of ourtrading prices, or as an offer, incentive or solicitation for the subscription, sale or purchase in any financial instrument. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, would be considered as a marketing communication under relevant laws. Please read our disclaimers:
- Notification on Non-Independent Invetment Research
- Full disclaimer

Check your inbox for a mail from us to fully activate your profile. No mail? Have us re-send your verification mail