Michael Woolfolk
Michael Woolfolk
anecdotal due evidence floor flows greater impact level lighter lower market point seeing trading
Anecdotal evidence on the trading floor indicates things have been lighter than at any other point in the week. You are seeing some one-off flows that are making a greater impact in the market due to this lower level of liquidity and volume.
below continue data fed labor likely market raising rates remains services support view
February's data support the view that the U.S. labor market remains strong, particularly on the services side, with unemployment solidly below the 5% level. The Fed is likely to continue raising rates for the foreseeable future.
auto loss market reflect rest saying surprise
(The survey) was a big surprise this morning, but some of the market is saying that Detroit, because of loss of auto jobs, does not reflect the rest of the nation.
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I don't think it is possible for Iran to take money out of both the United States and Europe. There are just not sufficiently deep or liquid markets to place these sums of money.
market tape
But the tape will not be as important to the market as new data.
bond concerned decide forward market negative remove ultimately
What we are concerned about is that going forward they may decide to remove petrodollars and redirect them elsewhere. If they do, it is negative for the bond market and ultimately for the U.S. dollar.
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.
ability deficit given indication market rally strong strongly trade
The US dollar's ability to rally strongly off a better-than-expected trade deficit is a strong indication that the market hasn't yet given up on the dollar.
ability deficit given indication market rally strongly trade
The U.S. dollar's ability to rally strongly off a better-than-expected trade deficit is a strong indication that the market hasn't yet given up on the dollar.
added buy dollar dollars gasoline market order report
This was a report that was made to order for dollar bulls. The market was predisposed to buy dollars and the report added gasoline to the fire.
asian bonds conscious demand dollar greatest market policy remains soon threat time unlikely whereas
Whereas Asian demand for US bonds is unlikely to end any time soon as a conscious policy decision, the reversal of petrodollars from the US bond market remains the greatest threat to the dollar in 2006.
dollar fed markets trend until
We won't see the dollar embarking on any new trend until the markets get a better sense of where the Fed is headed.
bought coming decides dollars euro low market negative possible quite sent time trading vote weekend weeks
The weekend 'No' vote was deemed to be negative for the euro and has sent the euro/dollar into a new trading range. It is quite possible that in the coming weeks we could get as low as $1.20 before the market decides that it has bought enough dollars for the time being.
durable favorable gains given goods growth interest january market positive rate recent unlikely weigh
Given the recent spate of positive January data, CPI and durable goods are unlikely to disappoint. The USD is positioned to make new gains ... as favorable U.S. growth and interest rate differentials weigh on market sentiment.