Salient to Investors: Investor Jim Pogoda said just extending Operation Twist was seen as not enough to keep positive momentum in gold, which will attract some safe haven investment as the focus turn quickly back to debt troubles in Europe. Nick Moore at Royal Bank of Scotland Group said global financial market risks abound and
READ MORE... →Salient to Investors: Isao Kubo at Nissay Asset Management said all the data yesterday points to a slowdown, and we can’t expect immediate stimulus measures. Kubo said Japanese stocks are resilient because of the yen, the biggest barometer for Japan’s corporate outlook. The Topix sells for 0.88 times book value. Tomoichiro Kubota at Matsui Securities said employment and housing
READ MORE... →Salient to Investors: Moody’s Investors Service slashed credit ratings on 15 global banks yesterday. Hiromasa Nakamura at Mizuho Asset Management said even Germany can’t avoid a slowdown, showing the instability of Europe’s financial system is affecting the region’s economy. Nakamura said the weakening global economy is leading to risk aversion among investors, putting
READ MORE... →Salient to Investors: Qu Hongbin at HSBC said policy easing has been insufficient to stabilize growth. Chinese home values fell in a record 54 of 70 cities in May. New Zealand grew at fastest pace in five years last quarter, almost three times the median estimate in a Bloomberg News poll. Predictions: Credit Suisse cut its 2012 growth estimate for
READ MORE... →Salient to Investors: George Elliott at Naftilia Asset Management said: Investing in Russia after its 1998 currency crisis, in Argentina in 1992 after it defaulted on its debt, or in the S&P 500 Index in March 2009 at its lowest point in 13 years were the best investment opportunities over the past 20 years.
READ MORE... →Salient to Investors: Economists expect sales of previously owned U.S. homes fell in May and reflect an uneven recovery. Existing-home sales reached a low of 3.39 million annual in July 2010 versus a peak of 7.25 million in September 2005. Foreclosure starts grew in May for the first time since January 2010. Michael Feder
READ MORE... →Salient to Investors: Euro-area manufacturing output shrank at the fastest pace in three years in June. Chinese output gauge indicated contraction. Japan reported its first trade deficit with the EU since it began tracking data in 1979. Howard Archer at IHS Global Insight said the EU is dealing with serious tightening of fiscal policy
READ MORE... →Salient to Investors: Four-week moving average increased to the highest since the week ended Dec. 3. The level of dismissals may raise concern the slowdown in payrolls will be prolonged, limiting consumer spending. Ryan Wang at HSBC Securities USA says momentum is slowing, companies have curtailed demand for labor, meaning less income growth, a restraint on
READ MORE... →Predictions: Esther Law at Societe Generale said the Fed did the bare minimum extending operation twist, which will be perceived as short-term negative for risky assets, including global emerging markets. Law said China’s manufacturing sector, especially small and medium-sized factories, continued to slip. JPMorgan raised Indian equities to overweight from neutral. Read the
READ MORE... →Predictions: pavement Stefan Angele at Swiss & Global Asset Management says uncertainty about Europe and the slowdown in China remains – the extension of Operation Twist was largely symbolic and will have no significant effect on either economic growth or the markets. Read the full article at http://www.bloomberg.com/news/2012-06-21/asian-stocks-gain-after-fed-extends-stimulus-as-oil-euro-drop.html
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