As coronavirus rattles markets, traders bet on Fed rate cut in March

Market traders fed

As coronavirus rattles markets, traders bet on Fed rate cut in March

CMC Markets er en markedsledende og global CFD-leverandør. Vi tilbyr handel i over 10 000 finansielle produkter. Vi har kontorer sentralt i Oslo. Too white, too male: Fed takes on diversity one bank board member at a time traders of futures contracts tied to the Federal Reserve's policy rate are now  US markets plummet 12% on recession fears. Updated / Monday, 16 Mar 2020 21:03.

US traders are reacting badly to drastic weekend measures from the  Thus, if the open market desk is an informed trader trading on private information, then we would expect to find high intraday rate changes and volatility in the late  2 days ago “Markets might have perceived the Fed's response as panic, feeding into its own fears.” The yield on the 10-year Treasury slid to 0.

73%, a sign 

Founded in 1899, the NMTF is a trade association for market and street traders, mobile caterers and events retailers in the UK. If you trade on markets, festivals, 

Some market participants say the Fed also could open up another round of quantitative easing. Traders work on the floor at the New York Stock Exchange (NYSE) in New York, U.S.

, February 27, 2020 Market Data provided by Interactive Data As coronavirus rattles markets, traders bet on Fed rate cut in March Fed officials opened the door to a possible rate cut on Friday.

Note: CME FedWatch Tool calculations are scenarios that most commonly occur at scheduled FOMC meetings.

With the unscheduled rate move on March 3, the tool may not fully reflect the latest market conditions. The tool is expected to revert to typical results after the March 18 FOMC meeting.

Algorithmic trading is a method of executing orders using automated pre- programmed trading Algorithmic trading and HFT have resulted in a dramatic change of the market microstructure, The data is analyzed at the application side, where trading strategies are fed from the user and can be viewed on the GUI. Once the 

Founded in 1899, the NMTF is a trade association for market and street traders, mobile caterers and events retailers in the UK.

If you trade on markets, festivals,  6 days ago Fed funds futures on Thursday implied traders saw a 100% lihood that the central bank's benchmark overnight lending rate will fall at least  6 days ago Signals from the interest rate options market suggest investors increasingly believe U.S.

rates will turn negative this year, as the economic  3 days ago “The markets are getting no break with yesterday's historic Fed actions and Trading was halted for 15 minutes shortly after the open as a  3 days ago Many worry the Fed's surprise action could have the opposite effect Here's what's worrying pros about the massive Fed move to save the markets from Traders and financial professionals work on the floor of the New York  4 days ago Investors are counting on a steep Federal Reserve rate cut this week as policy makers move to Full Coverage of the Market Sell-Off Watch Live Bond Traders Agree on One Thing: Fed Cuts, Wild Swings Are Ahead. By. 6 days ago No, the Fed Did Not Just Give Stock Traders $1.5 Trillion it would inject about $1.5 trillion into the debt markets to keep them from collapsing 

19 Dec 2019 The BoE has referred itself to regulators after learning that specialised market news providers were disseminating audio files of policymakers' 

Just before the Federal Reserve’s move to shore up confidence with an emergency rate cut, one of the bull market’s hottest stock trades was already staging a spirited comeback. FILE PHOTO: The Federal Reserve seal is seen during Chairman Jerome Powell news conference following the two-day meeting of the Federal Open Market Committee (FOMC) meeting on interest rate policy

The leading publication for the traditional retail markets sector, as well as street traders, events retailers and hot food sellers, Market Times is a 48-page glossy magazine posted directly to around 20,000 traders, market operators and key industry decision makers every two months

Money-market traders are starting to bet on the idea that the spreading coronavirus will prompt swift and deep interest-rate cuts from the Federal Reserve, and potentially even an emergency meeting.

Some market participants say the Fed also could open up another round of quantitative easing. Traders work on the floor at the New York Stock Exchange (NYSE) in New York, U.S.

, February 27, 2020 Market Data provided by Interactive Data As coronavirus rattles markets, traders bet on Fed rate cut in March Fed officials opened the door to a possible rate cut on Friday.

Note: CME FedWatch Tool calculations are scenarios that most commonly occur at scheduled FOMC meetings.

With the unscheduled rate move on March 3, the tool may not fully reflect the latest market conditions. The tool is expected to revert to typical results after the March 18 FOMC meeting.

Источник: https://investjij.web.app/sucejepeferi/market-traders-fed87.html

Dow rises more than 900 points, books its biggest daily advance in 6 weeks on coronavirus vaccine hope

As coronavirus rattles markets, traders bet on Fed rate cut in March

U.S stocks booked sharp gains Monday, erasing May losses, on optimism that the American economy might be percolating again, while the medical community works toward a potential COVID-19 vaccine.

Support was also tied to remarks by Federal Reserve Chairman Jerome Powell on Sunday night, striking a more upbeat tone on U.S. growth prospects, while reiterating that the central bank still retained tools to limit the economic downturn.

The Dow Jones Industrial Average DJIA, +1.39% surged 911.95 points, or 3.9%, to finish at 24,597.37, after briefly advancing 1,000 points. The S&P 500 SPX, +1.66% rose 90.21 points, or 3.2%, to end at 2,953.91. The Nasdaq Composite COMP, +1.24% added 220.27 points, or 2.4%, closing at 9,234.83.

On Friday, the Dow rose 61 points, or less than 0.3%, to 23,685.42, while the S&P 500 rose 11.20 points, or 0.4%, higher to end the session at 2,863.70. The Nasdaq Composite Index closed at 9,014.56 after gaining 70.84 points, or 0.8%.

Monday’s rally pushed major indexes into positive territory for the month despite last week suffering the biggest weekly decline since March. The Dow is up 1.5% for the month, while the S&P 500 is 3.2% higher. The Nasdaq added to a monthly rise, bringing it to 6.8%.

What drove the market?

Air traffic appeared to be picking up from recent lows, states have been reopening and drugmaker Moderna announced positive, early results from its first human trial of its experimental Covid-19 vaccine.

Moderna Inc MRNA, -0.

04%  shares soared 20% Monday after the company released “compelling” early data from a phase-one clinical trial for its experimental coronavirus vaccine, providing a jolt to markets that have been hopeful for a treatment or vaccine for the deadly illness that has stricken more than 4.7 million world-wide so far, according to data compiled by Johns Hopkins University.

“What the market does is it tries to discount ahead. People are now going to anticipate the treatment, and the bets are coming in that we seen an end coming in sooner rather than later,” said Joe Saluzzi, co-head of equity trading at Themis trading, in an interview.

The next step for Moderna is a phase-two trial, which has been approved to move forward by the Food and Drug Administration. The phase-one trial was done in partnership with the National Institute of Allergy and Infectious Diseases.

Stock-market bulls also gained confidence following remarks by the U.S. central bank chief Powell on Sunday and Monday that the Fed would continue to support the economy and financial markets through the viral outbreak.

“While lockdowns (and how to end them) continue to dominate the economic conversation, it seems to me that the stock market has largely shrugged off the damage created by the pandemic-related cessation of economic activity,” wrote Kristina Hooper, Invesco’s chief global market strategist, in emailed comments Monday. “But that’s because of the massive policy response, particularly monetary policy.”

In a Sunday interview with CBS’ “60 Minutes” program, Powell said that the road to recovery for the U.S. may take a while and consumers may lack conviction until efforts to find a vaccine for the illness derived from the novel strain of coronavirus are successful.

That said, the monetary-policy maker struck a cautiously sanguine tone about the lihood for a rebound for an economy that has shown signs of the extreme toll taken on it by measures put in place to limit the spread of the pathogen.

“In the long run and even in the medium run, you wouldn’t want to bet against the American economy,” Powell said during the television interview. He did caution that a second wave of infections could rattle confidence further.

Powell also acknowledged that the unemployment rate could hit as high as 25%, marking levels not seen since the Great Depression. But the Fed boss said that he didn’t fear a second depression for the U.S., forecasting that an economic rebound would start to take shape in the second half of the year.

On Monday, Powell reiterated that the Fed’s rate-setting committee would use its “full range of tools tool” to aid the economy.

Meanwhile, data on Monday showed Japan’s economy, shrank by an annualized 3.4% in the three months ended March 31 after a 7.3% contraction in the previous quarter, meeting the commonly accepted definition for a recession.

Still, plans to restart stalled economies inside and outside the U.S. have continued to act as a support for markets, which have mostly been stuck in a narrow trading range since rising from March 23 bear-market low.

Rising cases in the U.S., however, where there are more than a third of the 4.7 million world-wide infections, has underpinned fitful trade in assets considered risky. Deaths in the U.S. rose above 89,500, more than a quarter of the more than 315,000 world-wide, according to figures from Johns Hopkins.

Which stocks were in focus?

  • Tesla Inc. TSLA, -3.39% was given the green light from local officials to resume operations at its Fremont, Calif., auto plant, according to the San Francisco Chronicle in a Sunday report, ending a battle with Alameda County officials, who had barred the opening of factories and manufacturing facilities to slow the spread of coronavirus. Tesla’s stock rose 1.8%.
  • Shares of American Airlines Group Inc. AAL, +0.70%, Delta Air Lines Inc. DAL, +1.45%,  United Airlines Holdings Inc. UAL, +1.39%  and Southwest Airlines Co. LUV, +2.

    37%  gained more than 9%, following an upbeat TSA data and analyst commentary added to the optimism that a post-COVID-19 pandemic recovery may have already begun.

  • Uber Technologies UBER, +1.67% shares climbed 3.5% despite food-delivery company Grubhub Inc. GRUB, +0.79%  rejecting its recent buyfer from the ride-sharing company.

    Uber also said it would cut an additional 3,000 jobs.

  • SoftBank Group Corp. 9984, +1.80%  is in talks to sell a significant portion of its T-Mobile US Inc. TMUS, -0.40% stake to controlling shareholder Deutsche Telekom AG DTEGY, +0.50%  as the Japanese technology conglomerate scrambles to raise funds.

  • Shares of Moderna MRNA, -0.04% soared 20% after the company’s report on its experimental vaccine. The company, after the bell, said it plans to raise more than $1 billion by selling stock to help fund manufacturing and distribution of tis vaccine candidate.
  • Hertz Global Holdings Inc.

    US:HTZ said Monday it has named Paul Stone as the new chief executive to replace Kathryn Morinello. Its shares closed 20.1% higher.

  • Occidental Petroleum Corp. OXY, +4.04% shares gained 9% even after French oil company Total canceled its plan to buy Occidental’s assets in Ghana.
  • Apple Inc. shares AAPL, +0.51% rose 2.

    4% after the iPhone maker said it would reopen more than 25 stores this week.

  • Shares of General Electric Co. GE, +1.01% charged 14.2% higher Monday, to bounce off the previous session’s 29-year low, as part of a broader stock market surge amid investor optimism over the post-COVID-19 scenario.
  • Eventbrite Inc. EB, +4.13%  shares surged 24.

    6% Monday after SunTrust Robinson Humphrey analyst Youssef Squali upgraded the stock to buy from hold, calling the stock’s 40% drop since last week’s earnings an “overreaction.”

  • Shares of Expedia Group Inc. EXPE, +1.02% gained 18.6% Monday.

How did other markets trade?

U.S. government bond yields rose along with stocks, with the 10-year Treasury note TMUBMUSD10Y, 1.677% rising 10.1 basis points to 0.741%, its biggest daily rise since March 18, according to Dow Jones Market Data. Bond prices move in the opposite direction of yields.

In precious metals, gold futures for June delivery US:GCM20 fell 1.3% to settle at $1,734.40 an ounce. Meanwhile, crude prices continued to rally as June oil futures US:CLM20 booked an 8.1% gain to end at $31.82 a barrel, more than a two-month high.

In global equities, the Stoxx Europe 600 index SXXP, +0.91% climbed 4.1%, its largest one-day gain since March 24, while Japan’s Nikkei NIK, +1.56% rose 0.5%.

The greenback weakened against a basket of its major rivals, with the ICE U.S. dollar index DXY, +0.18% trading down 0.8%.

Sunny Oh contributed reporting

Источник: https://www.marketwatch.com/story/dow-futures-climb-300-points-as-feds-powell-says-dont-bet-against-american-economy-even-as-unemployment-could-rise-to-25-2020-05-17

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