As if a gloomy start to 2016 for global markets was not enough, many investors are puzzled to see sectors with the strongest earnings estimates failing to buck the trend. The financial sector, in particular, is seemingly trapped in the broadly negative sentiment stemming from global equity weakness.
The US currency appreciated against almost every currency in 2015 by an average of 12 %, making US labor and US products that much less competitive.
The trade of the Year was to be short the Japanese Yen and the EUR against the US Dollar to finance long positions in Us Dollar denominated investments. The build-up of US Dollar long positions led to disappointing returns against the Japanese Yen, which ended the year where it started it, and the CHF that saw massive volatility in January as the Swiss National Bank changed its policy tools and abandoned its ‘peg’ against the EUR.
U.S. shale oil companies are using the post- OPEC rally to hedge their oil price risk for next year and 2018 above $50 a barrel, bankers, merchants and brokers said, pushing the forward oil curve upside down.
The rush to hedge — locking in future cash flows and sales prices — could translate into higher U.S. oil production next year, offsetting the first output cut by the Organization of Petroleum Exporting Countries in eight years.
The past few years have been difficult for the global diamond industry.
After a rapid recovery from the 2008 financial crisis, prices have been sliding since 2011. An index of rough diamonds by Polished Prices, a market data company, last month reached its lowest level since 2010.
German factory orders surged in October, suggesting growth in Europe’s largest economy will accelerate at the end of the year.
Orders, adjusted for seasonal swings and inflation, jumped 4.9 percent from September, when they fell a revised 0.3 percent, data from the Economy Ministry in Berlin showed on Tuesday. The increase was the biggest since July 2014, and compared with a median estimate of 0.6 percent in a Bloomberg survey. Orders gained 6.3 percent from a year earlier.
Mercedes-Benz is planning its own distinct line of electric vehicles, challenging BMW and Tesla Motors Inc. in a bet that alternative-fuel cars have the potential to become profitable.
Mercedes will add two electric sport utility vehicles and two sedans, according to two people familiar with the plan, who asked not to be named because the details haven’t been disclosed. Mercedes will create a new sub-brand for the cars, though a name hasn’t been chosen yet, one of the people said. Chief Executive Officer Dieter Zetsche said in June that the company planned to unveil an electric car at the Paris motor show in September.
The worst fears of OPEC and Asian gas exporters are about to come true.
U.S. shale drillers who pushed domestic crude production to a 45-year high and unlocked record amounts of natural gas are letting those supplies loose into global markets they were absent from for decades.
Millions of Americans have gone back to work since the last recession.
Now they’re finally getting some decent pay raises.
Average hourly earnings of workers climbed 2.8 percent in October from a year earlier, the fastest pace in seven years, Labor Department figures showed Friday in Washington.
Equity investors will remember 2015 as a difficult and disappointing year.
2015 will also be remembered as an extremely volatile year.
The first half of the year was extremely positive with a massive rally in Chinese equities and spectacular performances of the European bourses, but as early as May we warned investors about the coming correction in western markets, particularly the US, and raised our cash levels to 50 % in our model portfolio.