Michael Woolfolk
Michael Woolfolk
asian bank central continued demand elevated ensures foreign oil prices remains strong
We see that elevated oil prices and a continued Asian central bank intervention ensures that foreign demand for U.S. treasuries remains strong during January.
bank canadian continues dollar federal hike narrow rates reserve
If the Bank of Canadian continues to hike rates after the Federal Reserve pauses, it will narrow the rate differential between the two. This will make the Canadian dollar more favorable.
bank changing close fiscal japan march monetary movements policy year
The Bank of Japan is not going to be changing its monetary policy before the fiscal year end on March 31. As corporations close down their books, they don't want any pronounced movements in the dollar-yen rate.
appears bank buying consistent easing economy indication japan japanese prompt returning viewed
This morning's announcement by the Bank of Japan to end quantitative easing is being viewed as an indication that the Japanese economy is returning to health, but appears insufficient to prompt any consistent yen buying as of yet.
bank changing japan monetary strength
There was yen strength on the anticipation the Bank of Japan could be changing its monetary policy. Those expectations have been curbed.
asian bank buying dependent states united united-states
The United States is very dependent on Asian bank buying and petrodollars.
against banks central continue dollar intervene overseas remain supported time weak
The dollar will remain supported for the time being so long as central banks overseas continue to intervene to keep their currencies weak against the U.S. dollar.
country dollar fiscal formula growth happens investing investors loose monetary policy private report short strong tight
This report is nothing short of remarkable. The formula for a strong dollar is strong growth, tight monetary policy and loose fiscal policy. The U.S. happens to have all three. Private investors are comfortable investing in a country like the U.S.
buyers curve domestic foreign investors reason recession time yield
The reason why an inverted yield curve need not foreshadow recession this time is that it is foreign investors and not domestic investors who are increasingly buyers of U.S. bonds.
exceeded knew september turn worst
We knew that there were going to be some hurricane-related distortions in the September data, but this really exceeded our worst fears. This was a turn for the worst.
albeit economic positive report tip week
This was undeniably a positive report. Today's report could very well tip off a strong, albeit short, week for U.S. economic data.
benign canadian dollar inflation
Benign inflation has weakened the Canadian dollar a little bit.
dollar fed home increase interest less likely sales trend
Were this trend in new home sales to continue, the Fed will be less likely to increase interest rates, which would be a dollar negative.
china continue currency deficit energy enthusiasm firmly further improvement lasting market prices remains resistant rise trade unexpected
While the US trade deficit showed an unexpected improvement in February, any lasting market enthusiasm was firmly misplaced. Energy prices continue to rise while China remains resistant to further currency flexibility.