Financial Markets Signaling Major Turning Point?
Stock-Markets / Financial Markets May 05, 2008 - 11:30 AM GMT
Is the run towards safe-haven assets over? Major threats to financial markets certainly haven’t disappeared overnight. But it appears as though risk-appetite has returned that quickly. Of course, it can also vanish just as quickly. Either way it’s still something that needs to be monitored.
And while risky plays have drifted higher, the biggest talk has been of the U.S. dollar’s rise over the last two weeks after stabilizing above all-time lows. We have to wonder whether the buck is carving out a notable bottom. We’ve wondered that same thing many times over the last year of the dollar’s bear market. And each time the dollar’s brief rally was quickly squashed.
But there’s always something new to consider. Below are three charts that make us want say “It’s different this time.”
S&P 500 – Bottom: March 17th
Gold – Top: March 17th
Dollar – Bottom: March 17th
Risky assets rising? Safe-haven plays falling? The dollar appreciating?
Perhaps the markets are a good ways ahead of the fundamentals. And perhaps we’ve already witnessed a major turning point.
Jack Crooks
Black Swan Capital LLC
http://www.blackswantrading.com/
Black Swan Capital's Currency Snapshot is strictly an informational publication and does not provide individual, customized investment advice. The money you allocate to futures or forex should be strictly the money you can afford to risk. Detailed disclaimer can be found at http://www.blackswantrading.com/disclaimer.html
Currency Currents is available for only $49 per year. Just visit the sign-up page on our website to subscribe: http://www.blackswantrading.com/Currency_Currents.html
Black Swan Archive |
© 2005-2022 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.