Canada Is Heading For A Hard Landing

Published by Filipe R. Costa on Sat, 12/09/2015 - 01:49

Canada is heading towards disaster, as the BoC has been contributing to inflate asset prices without any measurable effect on the real economy. Years of low interest rates just put the real estate in Vancouver and Toronto amongst the most expensive in the world and helped consumers spend more than they really can...

Excess Returns Out of the 52-Week High

Published by Filipe R. Costa on Tue, 08/07/2014 - 15:28
52week high

Investors are always seeking for ways of getting some advantage relative to the market that can provide them with the ability to get alpha profits. Some dig very deep inside company financial statements, others look into all kinds of technical indicators in an attempt to identify some pattern, others break the insider trading rules, and some others trade on their emotions and impulses. One way or another they are deemed to fail if the efficient market hypothesis is valid, as many argue it to be. And if it is not valid?

The Collapse of the Dollar System

Published by Filipe R. Costa on Tue, 10/09/2013 - 13:30
world gold currency

(An original fictional work by Filipe R. Costa / Special thanks to Maggie Ayre for valuable corrections)

It was December 10, 2013, one of those grey and cold Tuesdays, as snowy days had already started in Moscow. It was early in the morning but there was already a lot of hustle and bustle in the streets, as the Muscovite prepared for another busy day. No one could suspect that such a Tuesday would be different from the previous Monday but Moscow was about to change the world, or the world was about to be changed from Moscow.

The Hard-Nosed ECB Is Changing Its Stance

Published by Filipe R. Costa on Tue, 07/05/2013 - 10:43

Daily Market Commentary for May 7: The hard-nosed ECB is finally willing to do something for the Eurozone. The move is welcomed but the motivation behind it is wrong.

Monetary Policy Is Broken

Published by City Blaster on Fri, 03/05/2013 - 10:43
Draghi fear

Daily Market Commentary for May 3: With the US FED, the Bank of England and the Bank of Japan exhausting unconventional policy measures to drive their economies into growth, it is now time for the ECB to try some tricks. Negative deposit rates may be the next step.

Jacob Lew Trying The Impossible

Published by City Blaster on Wed, 10/04/2013 - 10:47
au revoir austerity

Daily Market Commentary for April 10: George Soros and Jacob J. Lew were the last two adding to the already long list of austerity-opposers. Soros talks about a German exit, Lew is trying the best he can to convince a deaf Germany to engage in growth-oriented policies.

Austerity in Europe is Also a Legal Concern

Published by Filipe R. Costa on Tue, 09/04/2013 - 10:39
passos coelho

Daily Market Commentary for April 9: The EZ economy continues to sink pushed by itself. Besides being a political, social and economical issue, the EZ austerity is now also a legal problem with the Portuguese Constitutional Court rejecting government plans to cut personal income.

Deposits May Be at Risk

Published by City Blaster on Fri, 05/04/2013 - 10:07
miguel relvas

Daily Market Commentary for April 5: While the ECB added nothing to its current monetary policy, PMI data shows a sinking Europe, which now includes Germany. Will we be able to recover from this dormant state? Sure we will. I just don’t know when.

Please Pay in Cash

Published by City Blaster on Thu, 28/03/2013 - 13:22
cash is king

Daily Market Commentary for March 28: Cash is king! That’s something Cypriots will have in mind today as tight capital controls apply to their deposits. Banks reopened but the economy will struggle soon, as money will be drained from it.

Austerity Hits Health in Peripheral Europe

Published by City Blaster on Wed, 27/03/2013 - 11:41
slow recovery

Daily Market Commentary for March 27: A research study shows that austerity measures applied in peripheral European countries are undermining a long term decline in suicide rates, coupled with outbreaks of some worrying diseases including HIV and malaria. It’s like we have been on war.