As many northern hemisphere investors get their feet back under their desks after the summer break, we look at the key events and themes likely to be on the agenda for September and the fourth quarter of 2018. 1) Global trade negotiations The US and China held fresh, and largely fruitless, trade talks in August. The economics team at Schroders believes that the dispute is likely to be prolonged, and persist beyond the US midterm elections in November. The US implemented tariffs on $50 billion of Chinese imports in two stages in July and August, and China responded with duties of equal measure. The US Trade Representative, whose role includes managing US trade relations and negotiating with other countries, recently concluded its hearings on a proposed $200 billion of Chinese goods on which it could apply 25% tariffs. This paves the way for further tit-for-tat tariffs, with Beijing having announced a list of $60 billion in US goods that it would target in retaliation. There is a limit … [Read more...] about Ten events that could move stock markets in the final quarter of 2018
What moves stock prices
Elon Musk, the founder of Tesla and SpaceX, was sued twice on Friday by investors for manipulating share prices, Reuters reports. This comes after Musk tweeted a bombshell post this week, bringing forward the idea of the electric car company going private in a deal worth $72 billion. Am considering taking Tesla private at $420. Funding secured. — Elon Musk (@elonmusk) 7 августа 2018 г. According to the lawsuit complaints, Musk lied that the funding for the deal to privatize Tesla was "secured" so as to push shares higher. The move is claimed to have hurt short sellers, investors who borrow shares to later sell them at a lower price and then repurchase them to make a profit. The plaintiffs claim that Musk's tweet was meant to "completely decimate" short-sellers by forcing them to buy Tesla securities at "artificially inflated prices." READ … [Read more...] about ‘Fraudster Move’: Elon Musk Sued for Manipulating Stock Prices Through Twitter
THE summer holidays are upon us and many Brits are off to the Continent - but buying euros can be tricky given the ever-moving exchange rate. Here is our guide to the current state of the market, and how to get the best price when you swap your cash. What is today's pound to euro exchange rate? Following a sharp fall yesterday, just after 9am today the pound was trading at around €1.12. Actual rates for holidaymakers are significantly lower. Yesterday the walk-up rate at Forexchange in Cardiff airport was 90c per £1 - £200 bought just €177. Sterling has plunged against the euro and dollar in recent days as traders bet against the UK currency. It comes after Bank of England governor Mark Carney warned of an "uncomfortably high" risk of a disorderly Brexit and said banks must prepare for a recession. International trade secretary also said there is a 60-40 chance of "no deal" because of stubbornness in Brussels. A weaker pound is better for British exports - but … [Read more...] about Pound to euro exchange rate – what’s the exchange rate today, what affects the price and where is the best place to buy currency?
U.S. stocks have been shaky lately. Volatility spiked in February after years of calm, and the market continues to be bumpy. Meanwhile, the S&P 500 Index has gone nowhere this year, down 1 percent through Monday.Investors, however, needn’t fear that the recent volatility will turn into a rout because “the fundamentals are strong.” Or at least, that’s the refrain Wall Street analysts never tire of crooning for investors.It’s true that companies are awash in profits. Inflation-adjusted earnings for the S&P 500 have never been higher, according to numbers compiled by Yale professor Robert Shiller. The S&P 500’s gross margin of 33.7 percent for 2017 is just shy of the record 34.1 percent notched in 1998 and again in 1999 at the height of the of dot-com boom. Its profit margin of 9.2 percent is just short of the record 9.6 percent achieved in 2013. And earnings are beating expectations at a record pace, according to Bloomberg News.The problem … [Read more...] about Stocks’ Fundamental Swings Still Apply as Time Goes By
It seems you can't got a week without seeing a report on the state of house prices in the UK. But while one week you're told they're up, often the next you're told they're down, or flat, or crashing, or soaring. At least until Thursday when a new report is issued. So - which can you trust? The answer is that you need to pay attention to who's issued them. Because while none of them are outright wrong, they are all telling you different things. So, to help, this is what each of the reports is really saying about the property market in Britain. Halifax and Nationwide Two of the UK’s biggest mortgage lenders, Halifax and Nationwide Building Society, publish their own house price reports every month. These are often covered in reverential terms by the press, but in truth the actual picture that you get from them is pretty incomplete. That’s because they are based on that individual lender’s mortgage approval data, which they then use to try to paint a picture of the … [Read more...] about House price predictions explained: Why reports are so different & what they mean