Game Over (Game On?) for Financial Markets?


#1761

Lets talk about interest rates and bonds for a second. I am torn. I want to think that they cant keep these yields much longer and shorting treasuries makes sense. But the global economy is really slow supporting that interest rates will in fact stay subsided.


#1762

There is no way interest rates will be increased any time soon. I know they have to act like they are considering it but, no way. We will see a decrease before we see an increase.


#1763

This is dead on. We have been telling clients this for years. Global deflation is going to continue to drive them down. Not to mention good ole Benny said he would never see rates rise in his lifetime.


#1764

Lulz


#1765

fixed. :wink:


#1766

But jobless claims are down!!! The economy is improving!!!


#1767

The Repubs have had 50 weeks to extend the 179 tax credit but they waited until last night?!? So I have 2 weeks to order a new machine, get it delivered, have it installed, and it has to be “in service” too. Thanks for nothing assholes.


#1768

Wrong as usual :slight_smile: Just wondering, how does one decrease a rate from 0%? Does the fed start paying banks to take their money?


#1769

Negative interest rates are a thing. Look at Greece. You essentially get fined for saving money.


#1770

http://vomzi.com/wp-content/uploads/2015/11/top-head-exploding-gif.gif
So in order to not have to pass on negative rates to consumers, banks have to find other, more creative places to park everyone’s money. Hint: nothing positive happens when big banks get creative with your money.


#1771

0.25% as expected

Yields are already priced in. Nothing too crazy. Still hoping for a USDCAD long and WTI short to pay off into next week


#1772

Interesting strategy since the CAD moves with oil. I’m going to open a CAD denominated account while I’m in Buffalo next week to start stashing cash there while it hovers around $1.40


#1773

I have been bullish on USDCAD since 1.32.

Dollar power. Canadian economy sucks. Oil dropping. All doom. My first take profit is 1.40.

Gold futures has an interesting reaction to this IMO.


#1774

All very true. My new strategy with oil instead of trying to catch a falling knife is to just short both UCO and SCO. Over time the volatility will just churn them both to 0.


#1775

I don’t see any bounce to oil in the near future. There seems to be no determination to curb over supply so any of that will be good.

I don’t see 4 rate hikes that people are talking about next year. Seems like 2 may be likely but 4 would be amazing.


#1776

Not unless we suddenly get Bill Clinton level growth out of nowhere.


#1777

1.28% gain today. They should raise them another .25% tomorrow too!


#1778

That’s just because this rate increase was already baked in and now the uncertainty is gone.


#1779

USDCAD LONG +24% (opened today at higher leverage)
WTI SHORT +18%

Free money Wednesday.


#1780

What kind of leverage did you take on the USDCAD? FOREX is scary if you’re not watching it where a couple percent can bankrupt you real quick!