http://www.zerohedge.com/fullrss2.xml/feed en Dollar Collapse Continues - Over 80% Of Post-Trump Gains Gone http://www.zerohedge.com/news/2017-03-27/dollar-collapse-continues-over-80-post-trump-gains-gone <p>When the dollar was soaring, it was 'unequivocally' a reflection of the strength (or potential strength) of the US economy and its safe-haven, cleanest-dirty-short status. <em><strong>Since The Fed hiked rates for the 3rd time in 11 years, however, the dollar has done nothing but decline</strong></em>...</p> <p>Erasing over 80% of post-Trump gains...</p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/2017/03/21/20170325_dollar.jpg"><img src="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/2017/03/21/20170325_dollar_0.jpg" width="600" height="316" /></a></p> <p>The Dollar Index has also plunged back to a 98 handle...</p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/2017/03/21/20170325_dollar1.jpg"><img src="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/2017/03/21/20170325_dollar1_0.jpg" width="600" height="311" /></a></p> <p>So is this "good" news? All those multi-national S&amp;P companies benefit? We are sure Wall Street chattering heads will find a positive narrative any second now.</p> <div class="field field-type-filefield field-field-image-teaser"> <div class="field-items"> <div class="field-item odd"> <img class="imagefield imagefield-field_image_teaser" width="957" height="504" alt="" src="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/20170325_dollar.jpg?1490618867" /> </div> </div> </div> http://www.zerohedge.com/news/2017-03-27/dollar-collapse-continues-over-80-post-trump-gains-gone#comments Alt-right American people of German descent Business Business Climate change skepticism and denial Donald Trump Politics of the United States The Apprentice United States US Federal Reserve WWE Hall of Fame Mon, 27 Mar 2017 12:48:45 +0000 Tyler Durden 591809 at http://www.zerohedge.com It's "Judgment Time": Goldman Sees Three Options For Traders http://www.zerohedge.com/news/2017-03-27/its-judgment-time-goldman-sees-three-options-traders <p><em>From Goldman's Tony Pasquariello</em></p> <p><strong>Judgment Time … Options Include:</strong></p> <ol> <li><strong>get bearish S&amp;P for a trade.</strong></li> <li><strong>don’t fight the primary trend -- this is a melt-up, and there are good (macro) reasons behind it.&nbsp; </strong></li> <li><strong>simplify the portfolio; wait for better location to re-load length.</strong></li> </ol> <p><strong>A case for door #1:</strong></p> <ul> <li>US equities are OWNED right now.&nbsp; positioning metrics look very stretched (particularly for the levered community and retail money) and the options market smells of complacency.&nbsp; </li> <li>the second derivative of global growth will likely turn lower; see first chart below on why that could really matter.</li> <li>plot crude oil, high yield, small cap or the banks -- all of these assets are encountering some turbulence.&nbsp; </li> <li>coming out of this week, policy expectations surrounding the new administration need to be reconsidered.&nbsp; </li> </ul> <p><strong>A case for door #2: </strong></p> <ul> <li>in February, the Current Activity Index printed its best month in a decade and financial conditions … got easier (as. the dollar and the bond market were well behaved; link).&nbsp; in English: the interplay between global growth and financial markets is a stock operator’s dream.&nbsp; </li> <li>a global cyclical upswing was taking shape before the US election; that narrative remains intact today and will underpin cyclical assets irrespective of DC headlines. </li> <li>failure to pass healthcare reform doesn’t necessarily doom tax reform nor other pro-cyclical policy ambitions (deregulation, fiscal expansion).&nbsp; </li> <li>unless you foresee a recession, it’s unlikely that stocks will trade lower; see very last chart at bottom.&nbsp; again, don’t ignore the history book.&nbsp; </li> </ul> <p><strong>A case for door #3:</strong></p> <ul> <li>some blend of the previous points, principally that global growth is apt to slow from its locally best levels -- but, it will remain durable enough.&nbsp; </li> <li>the policy path will be erratic and come up short of the highest hopes from late ’16 -- but, in the end, you’ll end up with some degree of lower taxes / less regulation / more fiscal spending.&nbsp; </li> <li>the Fed is neither fish nor fowl.&nbsp; which is to say, the FOMC ain’t as dovish as they appeared last week -- nor will they normalize policy in a manner that dislocates risk assets.&nbsp; </li> <li>it may sound like heresy, but maybe the macro trading in 2017 winds up being … boring.&nbsp; who would have thought coming out of last year that Q1 would see a collapse in both realized and implied volatility (sales &amp; trading colleague Brian Garrett notes that only 8% of S&amp;P 500 constituents, over the past three months, out-realized where implieds were marked at yr end).&nbsp; </li> </ul> <p><strong>Bottom line and some trade ideas: </strong>put me in camp #3.&nbsp; I’m leery of short-term technicals and the news feed, while still of the view that stocks enjoy a healthy macro backdrop.&nbsp; therefore, I like reducing both net and gross exposure and swapping physical exposure into options. </p> <p>* * * </p> <p><strong>A few ideas, pls ask for specifics if you’d like ‘em:</strong></p> <ul> <li>for the bulls … May expiry upside calls on S&amp;P … I don’t think call wing implieds can go much lower.</li> <li>for the bulls … May expiry upside calls on SX5E or SX7E … on a clean election outcome, I think pent-up capital makes its way to European equities (and, perhaps from here to there).-- what I really like is options that pay out on an SX5E rally … with the condition that S&amp;P trades higher but underperforms … specifics available.</li> <li>for the bears … short-dated put/call skew on RTY is near all-time lows (25dp - 25dc implieds).</li> <li>for the bears … puts or put spreads on HY ETFs … protect you from a lot of things.&nbsp; </li> </ul> <p>* * * </p> <p>O<strong>ther stuff / charts:</strong><br />&nbsp;<br />1. attached is a comprehensive assessment of global oil supply and demand dynamics.&nbsp; punchline as I read it: “our Top Projects database of the industry’s new oil &amp; gas developments shows that 2017-19 is likely to see the largest increase in mega projects production in history, as the record 2011-13 capex commitment yields fruit.&nbsp; this long-lead-time wave of projects and a short-cycle revival, led by US shales, could create a material oversupply in 2018-19.”&nbsp; </p> <p>2. YTD: SHCOMP +5%, HSI +11%, HSCEI +12% (best start since ’06).&nbsp; lest it be said, the Chinese asset story is in a profoundly better place than most would have expected a year ago; even the bears feel pretty neutral right now.&nbsp; against the backdrop of better global growth and easy US financial conditions, as well as underweight index investors, I suppose this makes sense -- although I’d remain in the medium-term bear camp. </p> <p>3. bigger picture, this has been the best start for EM equities in 11 years (MXEF +13%).&nbsp; the same growth / rates interplay applies here.&nbsp; as sales &amp; trading colleague Scott Rubner notes, all the outflows from EM debt and equity funds in the aftermath of the US election have been recouped.&nbsp; </p> <p>4. at the start of 2013, there was quite a bit of hype surrounding expectations for asset allocation out of bonds and into stocks.&nbsp; that narrative wound up getting lost in H1’13, only to quietly play out post taper tantrum.&nbsp; anyway, I bring it up b/c at the time I remember there were 3 preconditions you needed to believe in: (1) confidence in the durability of US growth; (2) good equity performance; (3) bad fixed income performance.&nbsp; you can probably see where I’m going with this.&nbsp; </p> <p>5. courtesy of GIR’s Ben Snider, an illustration of the interplay between stocks and the industrial cycle:</p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2017/03/27/pasc%201.png"><img src="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2017/03/27/pasc%201_0.png" width="500" height="325" /></a></p> <p>6. simple plot of the term structure of equity implieds.&nbsp; I have no quibble with SX5E given the election premium, nor NKY as it tends to trade with at the whim of global risk sentiment<strong>.&nbsp; the wild part to me is S&amp;P … i.e. we slope down in the front of the curve (blue line): </strong></p> <p><img src="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2017/03/27/pasc%202_0.png" width="500" height="269" /></p> <p>7. YTD sub-sector returns … some fairly serious moves in just one quarter, with respect to both magnitude and divergence:&nbsp; </p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2017/03/27/pasc%203.gif"><img src="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2017/03/27/pasc%203_0.gif" width="500" height="360" /></a></p> <p>8. as many other thematic trades have come off the boil, this keeps plowing ahead … the US Portfolio Strategy basket of US dividend growth stocks:</p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2017/03/27/pasc%204.gif"><img src="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2017/03/27/pasc%204_0.gif" width="500" height="360" /></a></p> <p>9. from GS Investment Management.&nbsp; executive summary: it’s very rare for US equities to have a down year in the absence a recession (link):</p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2017/03/27/pasc%205.png"><img src="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2017/03/27/pasc%205_0.png" width="500" height="360" /></a></p> <p><em>Source: Goldman Sachs</em></p> <div class="field field-type-filefield field-field-image-teaser"> <div class="field-items"> <div class="field-item odd"> <img class="imagefield imagefield-field_image_teaser" width="929" height="499" alt="" src="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/pasc%202.png?1490617442" /> </div> </div> </div> http://www.zerohedge.com/news/2017-03-27/its-judgment-time-goldman-sees-three-options-traders#comments B+ Bond Business Crude Crude Oil Current Activity Equity securities Finance Financial economics fixed Futures contract goldman sachs Goldman Sachs headlines High Yield Money Recession S&P 500 Stock Stock market US Federal Reserve Volatility Mon, 27 Mar 2017 12:25:50 +0000 Tyler Durden 591805 at http://www.zerohedge.com As Market Tumbles, Investors Rush Into Safe Haven SNAP After Mass Wall Street Upgrade http://www.zerohedge.com/news/2017-03-27/market-tumbles-investors-rush-safe-haven-snap-after-mass-wall-street-upgrade <p>While US equity markets are shuddering under the uncertainty of President Trump&#39;s agenda, it appears <strong>investors have found a safe haven </strong>for their hard-gambled retirement funds. Following a series of upgrades, overweights, and &quot;buy&quot; recommendations from Wall Street&#39;s biggest and brightest commission-takers, <strong>SNAP shares are soaring - back to their post-IPO open at $24</strong>.</p> <p><span style="text-decoration: underline;"><strong>Why SNAP is up:</strong></span> GS: Initiate Buy, $27 PT Citi: Buy, $27 PT MS: Overweight, $28 PT RBC: Outperform, $31 PT Jefferies: Buy, $30 PT</p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/2017/03/21/20170325_SNAP.jpg"><img height="320" src="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/2017/03/21/20170325_SNAP_0.jpg" width="600" /></a></p> <p>&nbsp;</p> <p>Goldman initiates a &quot;buy&quot;...</p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/2017/03/21/SNAP%20GS.jpg"><img alt="" src="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/2017/03/21/SNAP%20GS_0.jpg" style="width: 600px; height: 325px;" /></a></p> <p>&nbsp;</p> <p>Morgan Stanley is a huuge fan now...</p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/2017/03/21/MS%20SNAP.jpg"><img height="767" src="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/2017/03/21/MS%20SNAP_0.jpg" width="600" /></a></p> <p>&nbsp;</p> <p>But Morgan Stanley&#39;s outlook seems more like a coin toss?</p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/2017/03/21/20170327_snap.png"><img alt="" src="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/2017/03/21/20170327_snap_0.png" style="width: 600px; height: 421px;" /></a></p> <p>&nbsp;</p> <p>With a bear case of a 50% drop from here...</p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/2017/03/21/SNAP%20valuations%20MS.jpg"><img alt="" src="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/2017/03/21/SNAP%20valuations%20MS_0.jpg" style="width: 600px; height: 678px;" /></a></p> <div class="field field-type-filefield field-field-image-teaser"> <div class="field-items"> <div class="field-item odd"> <img class="imagefield imagefield-field_image_teaser" width="2137" height="1138" alt="" src="http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/20170325_SNAP.jpg?1490616561" /> </div> </div> </div> http://www.zerohedge.com/news/2017-03-27/market-tumbles-investors-rush-safe-haven-snap-after-mass-wall-street-upgrade#comments Business Equity Markets Finance Financial history of the Dutch Republic Financial services Hospitality Initial public offering Money Morgan Stanley Morgan Stanley Primary dealers Snap Inc. Subprime mortgage crisis Mon, 27 Mar 2017 12:13:37 +0000 Tyler Durden 591803 at http://www.zerohedge.com Kremlin Rejects US, EU Call To Free Detained Protesters As Court Fines Opposition Leader Navalny http://www.zerohedge.com/news/2017-03-27/kremlin-rejects-us-eu-call-free-detained-protesters-court-fines-opposition-leader-na <p>One day after <a href="http://www.zerohedge.com/news/2017-03-26/navalny-arrested-opposition-protests-sweep-russia">snap protests against corruption </a>and Russia PM Medvedev broke out across numerous Russian cities, leading to the detention of hundreds of protesters as well as opposition leader Aleksey Navalny, the Russian opposition activist was found guilty of staging an unsanctioned rally, and will be fined 20,000 rubles (US$350) for his role in organizing what the authorities said was an illegal protest in Moscow on Sunday.</p> <p>The Russian protests, estimated to be the biggest since a wave of anti-Kremlin demonstrations in 2011/2012, come a year before a presidential election that Vladimir Putin is expected to contest, running for what would be a fourth term.</p> <p>The same court was due, later on Monday, to consider a separate charge against Navalny of disobeying a police officer. </p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2017/03/27/navalny%20arrested.jpg"><img src="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2017/03/27/navalny%20arrested_0.jpg" width="500" height="278" /></a><br /><em>The Russian opposition activist Aleksey Navalny</em></p> <p>"Those who claimed on the previous day in pseudoacademic language that the event was lawful and in no way violated the law – they were telling blatant lies,” Russian presidential spokesman Dmitry Peskov said Monday, referring to the organizers of the event.</p> <p>As reported on Sunday, Navalny was detained shortly after arriving at an anti-corruption protest in downtown Moscow on Sunday. He was charged with violating a law on public gatherings and faced a fine, community service, or administrative detention. Moscow police have officially confirmed that they detained some 500 demonstrators.</p> <p>Approximately 8,000 people took part in the protest in Russia’s capital, law enforcement officials reported. As the rally continued, police used loudspeakers to call on the protesters to disperse. </p> <p>Protesters turned up despite failing to obtain a permit from the mayor’s office to hold a rally at the site of their choosing. The authorities had suggested two alternative venues, which the organizers rejected. Moscow police said that taking part in the unsanctioned rally could pose a safety risk and advised people against it. Similar rallies, some unsanctioned and others permitted by local authorities, were attended by thousands of people across Russia on Sunday.</p> <p>Additionally, on Monday the Kremlin rejected calls by the United States and the European Union to release opposition protesters detained during what it said were illegal demonstrations the previous day and accused organizers of paying teenagers to attend.</p> <p>Police detained hundreds of protesters across Russia on Sunday, including opposition leader Alexei Navalny, after thousands took to the streets to demonstrate against corruption and demand the resignation of Prime Minister Dmitry Medvedev. Medvedev's spokeswoman has called corruption allegations against him "propagandistic attacks," saying they amount to pre-election posturing by Navalny, who hopes to run against Putin next year. </p> <p>According to <a href="http://www.reuters.com/article/us-russia-protests-kremlin-idUSKBN16Y122?feedType=RSS&amp;feedName=topNews&amp;utm_source=twitter&amp;utm_medium=Social">Reuters</a>, which cites opinion polls, the liberal opposition, which Navalny represents, has little chance of fielding a candidate capable of unseating Putin, who enjoys high ratings. But Navalny and his supporters hope to channel public discontent over official corruption to attract more support. </p> <p>On Sunday, the U.S. and the European Union both issued statements calling on Russia to free detained protesters, but Kremlin spokesman Dmitry Peskov said on Monday such calls were wide of the mark. "We can't agree with these calls," Peskov told reporters on a conference call, saying the police had been professional and properly enforced Russian law.</p> <p>He said the Kremlin had no problem with people expressing their opinions at protest meetings, <strong>but said the timing and location of such events had to be agreed with the authorities in advance, </strong>something which he said had not been done in large part on Sunday.</p> <p>The authorities are concerned opposition activists will try to encourage people to break the law again in future, he said. "We can't respect people who deliberately misled minors -- in essence children -- calling on them to take part in illegal actions in unsanctioned places and offering them certain rewards to do so, thus putting their lives at risk," said Peskov.</p> <p>"What we saw yesterday in certain places, and especially in Moscow, was a provocation." He said police had gathered factual evidence that some teenagers, who had been detained, had been paid cash by protest organizers to attend. </p> <p>The Kremlin would listen to what people who took part in other sanctioned anti-government protests in some Russian cities had said on Sunday, Peskov promised. </p> <p>Needless to say, the US and EU, which have accused Russia of hacking the US election and of being behin attempts to manipulate both the Brexit vote and the upcoming French election, were not amused.</p> <div class="field field-type-filefield field-field-image-teaser"> <div class="field-items"> <div class="field-item odd"> <img class="imagefield imagefield-field_image_teaser" width="900" height="500" alt="" src="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/navalny%20arrested.jpg?1490616024" /> </div> </div> </div> http://www.zerohedge.com/news/2017-03-27/kremlin-rejects-us-eu-call-free-detained-protesters-court-fines-opposition-leader-na#comments 2011–13 Russian protests Alexei Navalny Alexei Navalny mayoral campaign Anti-Putin opposition in the Russian Federation Corruption Corruption in Russia Dmitry Medvedev Dmitry Peskov European Union European Union Independent politicians Moscow police Politics Politics Politics of Russia ratings Reuters Russia Vladimir Putin Vladimir Putin Mon, 27 Mar 2017 12:03:10 +0000 Tyler Durden 591802 at http://www.zerohedge.com Frontrunning: March 27 http://www.zerohedge.com/news/2017-03-27/frontrunning-march-27 <ul> <li>Markets Slide on Doubts that Trump Can Deliver (<a href="https://www.bloomberg.com/news/articles/2017-03-26/wariness-engulfs-markets-as-trump-optimism-tested-markets-wrap">BBG</a>)</li> <li>Dollar hits four-month low as Trump trade deflates (<a href="http://www.reuters.com/article/us-global-forex-idUSKBN16X135">Reuters</a>)</li> <li>These Charts Show Alarm Bells Ringing on Trump Trade (<a href="https://www.bloomberg.com/news/articles/2017-03-27/trump-trades-still-show-life-but-the-signs-are-fading-fast">BBG</a>)</li> <li>White House may court Democrats on tax reform (<a href="http://www.reuters.com/article/us-usa-trump-taxes-idUSKBN16X0MM">Reuters</a>)</li> <li>Republicans Could Have Another Fight Over Tax Overhaul (<a href="https://www.wsj.com/articles/republicans-tax-overhaul-could-face-its-own-slings-and-arrows-1490531899">WSJ</a>)</li> <li>'Religious left' emerging as U.S. political force in Trump era (<a href="http://www.reuters.com/article/us-usa-trump-religion-idUSKBN16Y114">Reuters</a>)</li> <li>Democrats Weigh Next Steps on Gorsuch Nomination (<a href="https://www.wsj.com/articles/democrats-weigh-options-on-neil-gorsuch-nomination-1490567366">WSJ</a>)</li> <li>Iraq Military Rejects Claim U.S. Airstrike Killed Civilians (<a href="https://www.wsj.com/articles/iraq-military-blames-islamic-state-for-deaths-1490551352">WSJ</a>)</li> <li>Deutsche Bank in Bind Over How to Modify $300 Million Trump Debt (<a href="https://www.bloomberg.com/politics/articles/2017-03-27/deutsche-bank-in-bind-over-how-to-modify-300-million-trump-debt">BBG</a>)</li> <li>‘Project Scalpel’: Behind Big Banks’ Plan to Save $2 Billion (<a href="https://www.wsj.com/articles/project-scalpel-behind-big-banks-plan-to-save-2-billion-1490607000">WSJ</a>)</li> <li>Trump to sign order on Tuesday easing energy regulations: officials (<a href="http://www.reuters.com/article/us-usa-energy-regulation-idUSKBN16X150">Reuters</a>)</li> <li>United Airlines bars teenage girls in leggings from flight (<a href="http://www.reuters.com/article/us-unitedairlines-leggings-idUSKBN16X13G">Reuters</a>)</li> <li>Rich Chinese Race to Apply for a U.S. Golden Visa (<a href="https://www.bloomberg.com/news/articles/2017-03-26/rich-chinese-race-to-fund-kushner-tower-other-high-end-projects">BBG</a>)</li> <li>Huishan Had Emergency Creditor Meeting Before Rout, Lender Says (<a href="https://www.bloomberg.com/news/articles/2017-03-27/huishan-had-emergency-creditor-meeting-before-rout-lender-says">BBG</a>)</li> <li>France's Le Pen says the EU 'will die', globalists to be defeated (<a href="http://www.reuters.com/article/us-france-election-le-pen-euro-idUSKBN16X0FO">Reuters</a>)</li> <li>Shell and Anadarko mull clean break from Permian venture (<a href="http://www.reuters.com/article/us-anadarko-petrol-shell-permian-exclusi-idUSKBN16Y0ED">Reuters</a>)</li> <li>How a Battle Over Fish Could Batter Brexit Talks (<a href="https://www.bloomberg.com/politics/articles/2017-03-26/fish-eye-view-of-the-complexities-that-may-sink-brexit-talks">BBG</a>)</li> <li>U.S. tourist killed in London would not have borne ill feelings toward attacker (<a href="http://www.reuters.com/article/us-britain-security-cochran-idUSKBN16Y16W?il=0">Reuters</a>)</li> <li>High-Speed Trading Behind Your Amazon Purchase (<a href="https://www.wsj.com/articles/the-high-speed-trading-behind-your-amazon-purchase-1490532110">WSJ</a>)</li> <li>Tesla Model 3 Ramp Up Aims to Crush BMW and Mercedes (<a href="https://www.bloomberg.com/news/articles/2017-03-27/tesla-model-3-ramp-up-aims-to-crush-bmw-and-mercedes">BBG</a>)</li> <li>Toshiba shares rise after report Westinghouse may file bankruptcy Tuesday (<a href="http://www.reuters.com/article/us-toshiba-westinghouse-idUSKBN16Y00R?il=0">Reuters</a>)</li> <li>Kremlin rejects U.S., EU calls to free detained opposition protesters (<a href="http://www.reuters.com/article/us-russia-protests-kremlin-idUSKBN16Y122?feedType=RSS&amp;feedName=topNews&amp;utm_source=twitter&amp;utm_medium=Social">Reuters</a>)</li> <li>Hedge Funds Are Training Their Computers to Think Like You (<a href="https://www.bloomberg.com/news/articles/2017-03-27/hedge-fund-quants-close-in-on-designing-ultimate-trader-s-brain">BBG</a>)</li> <li>China state firms eye land around Panama Canal: waterway authority (<a href="http://www.reuters.com/article/us-panama-canal-land-idUSKBN16Y13J?il=0">Reuters</a>)</li> <li>EU antitrust regulators clear $130 billion Dow, DuPont merger (<a href="http://www.reuters.com/article/us-du-pont-m-a-dow-eu-idUSKBN16Y16O">Reuters</a>)</li> <li>China Southern in talks over American Airlines tie-up (<a href="http://www.reuters.com/article/us-china-southern-american-airline-idUSKBN16X0S5">Reuters</a>)</li> </ul> <p>&nbsp;</p> <p><strong>Overnight Media Digest</strong></p> <p><em><span style="text-decoration: underline;">WSJ</span></em></p> <p>- South Korean prosecutors said they would seek an arrest warrant for former President Park Geun-hye, just 17 days after she was removed from office as part of a wide-ranging political scandal that caused her to be impeached. <a href="http://on.wsj.com/2olCJJw" title="http://on.wsj.com/2olCJJw">http://on.wsj.com/2olCJJw</a></p> <p>- Thousands of demonstrators took to the streets of cities across Russia on Sunday to protest official corruption in the most significant challenge to President Vladimir Putin in years. Sunday's marches were called by leading opposition figure Alexei Navalny, who was detained during the protest in Moscow. <a href="http://on.wsj.com/2nXYUsS" title="http://on.wsj.com/2nXYUsS">http://on.wsj.com/2nXYUsS</a></p> <p>- The Iraqi military said Sunday a blast that killed scores of civilians in western Mosul was triggered by an Islamic State booby trap, contradicting local officials and residents who claimed a U.S.-led coalition airstrike caused the deaths. <a href="http://on.wsj.com/2nUJeGp" title="http://on.wsj.com/2nUJeGp">http://on.wsj.com/2nUJeGp</a></p> <p>- The White House sent a warning shot to congressional Republicans that it may increase its outreach to Democrats if it can't get the support of hard-line conservatives, a potential shift in legislative strategy that could affect drug prices, the future of a tax overhaul and budgetary priorities. <a href="http://on.wsj.com/2nD0GPv" title="http://on.wsj.com/2nD0GPv">http://on.wsj.com/2nD0GPv</a></p> <p>- Hollywood studios are preparing to upend decades of tradition by releasing movies at home less than 45 days after they debut on the big screen, according to people with knowledge of their plans, a goal they have pursued unsuccessfully for years. <a href="http://on.wsj.com/2mEg2Ur" title="http://on.wsj.com/2mEg2Ur">http://on.wsj.com/2mEg2Ur</a></p> <p>- Barclaycard is shedding a chunk of its subprime card balances, in a deal that reflects diverging views in the card industry about the future of the U.S. economy and the wisdom of wagering on risky borrowers. The credit-card issuer sold $1.6 billion of credit-card balances owed by mostly near-prime and subprime borrowers to privately held personal-loan firm Credit Shop Inc. <a href="http://on.wsj.com/2nDIaGo" title="http://on.wsj.com/2nDIaGo">http://on.wsj.com/2nDIaGo</a> </p> <p>&nbsp;</p> <p><em><span style="text-decoration: underline;">FT</span></em></p> <p>- Advertisers are demanding prime space from Google at discounted prices rates after it was came to light that many brands had appeared next to extremist content on YouTube. Group M's, a part of WPP, Chief Digital Officer Rob Norman said he has been in “constant dialogue with Google” suggesting “a range of actions they may take to give greater comfort and security” to advertisers.</p> <p>- Britain’s leading banks Standard Chartered and Barclays have drawn ire from some big shareholders over decisions to lower hurdles for long-term bonuses for their bosses, in the latest conflict with investors over executive pay. Some leading investors in Standard Chartered and Barclays object to plans to cut the profit triggers for long-term incentive plans to levels below the banks' own stated targets.</p> <p>- Hurricane Energy has made oil discovery west of the Shetland Islands barely days after Royal Dutch Shell and BP won exploration licences in an area the UK is counting on to breathe new life into its struggling oil and gas industry. The company is expected to announce that initial data from its Halifax well indicates the presence of a 1km-deep oil column and it appears to be part of “a single large hydrocarbon accumulation” connected to the its Lancaster field.</p> <p>- Brussels is considering publishing its main negotiating positions in Brexit talks, adopting a policy of full transparency. UK is preparing to trigger the Article 50 divorce clause Wednesday and Michel Barnier, the EU’s chief negotiator, is advocating an “open” style similar to the bloc’s conduct in US-EU trade negotiations. This move could increase pressure on May to reveal more of UK strategy in further talks.</p> <p>&nbsp;</p> <p><em><span style="text-decoration: underline;">NYT</span></em></p> <p>- Illinois legislators are considering a "right to know" bill that would let consumers find out what information about them is collected by companies like Google and Facebook, and what kinds of businesses they share it with. Such a right, which European consumers already have, has been a longtime goal of privacy advocates. <a href="http://nyti.ms/2nYcYTo" title="http://nyti.ms/2nYcYTo">http://nyti.ms/2nYcYTo</a></p> <p>- Even after hundreds of companies decided to block their advertisements from running on Breitbart News, the alt-right website closely tied to U.S. President Donald Trump's administration, their advertisements have appeared on the site anyway, another example of how little control companies often have over where their ads are seen online. <a href="http://nyti.ms/2mGeV6x" title="http://nyti.ms/2mGeV6x">http://nyti.ms/2mGeV6x</a></p> <p>- Uber said it was suspending the testing of its self-driving vehicles, a day after one of the vehicles was involved in a collision in Tempe, Arizona. <a href="http://nyti.ms/2n5keJa" title="http://nyti.ms/2n5keJa">http://nyti.ms/2n5keJa</a></p> <p>&nbsp;</p> <p><em><span style="text-decoration: underline;">Canada</span></em></p> <p>THE GLOBE AND MAIL</p> <p>** Ontario Premier Kathleen Wynne has convened a meeting of senior auto sector executives to make sure the government and the industry are on the same page amid the looming renegotiation of the North American free-trade agreement. <a href="https://tgam.ca/2myNz2v" title="https://tgam.ca/2myNz2v">https://tgam.ca/2myNz2v</a></p> <p>** China's new envoy says Beijing is seeking unfettered access for Chinese state-owned firms to all key sectors of the Canadian economy during free-trade talks now under way with Ottawa - including an end to restrictions barring these enterprises from investing in the oil sands. <a href="https://tgam.ca/2myOU9h" title="https://tgam.ca/2myOU9h">https://tgam.ca/2myOU9h</a></p> <p>** Ottawa's plan to end tax allowances for oil firms seeking to drill new wells is riling the energy sector - especially small and medium-sized producers who have already been hit hard by the oil-price drop and increasing competition from the United States. <a href="https://tgam.ca/2mys81b" title="https://tgam.ca/2mys81b">https://tgam.ca/2mys81b</a></p> <p>NATIONAL POST</p> <p>** The U.S. State Department is expected to approve TransCanada Corp's Keystone XL pipeline as early as Friday, eliminating a crucial hurdle for the project after years of political wrangling. <a href="http://bit.ly/2myFBGC" title="http://bit.ly/2myFBGC">http://bit.ly/2myFBGC</a></p> <p>** Investors at two of Canada's biggest banks, Royal Bank of Canada and Toronto-Dominion Bank, will vote soon on whether shareholders with smaller holdings should have a bigger voice when choosing directors for the board — a move that investor advocates say would, if successful, be a big step towards "shareholder democracy". <a href="http://bit.ly/2myA9Ud" title="http://bit.ly/2myA9Ud">http://bit.ly/2myA9Ud</a></p> <p>** The government of Canada will play the role of venture capitalist and booster to clean technology companies with billions of dollars in funding and outright share purchases budgeted over the next several years. <a href="http://bit.ly/2myBudk" title="http://bit.ly/2myBudk">http://bit.ly/2myBudk</a></p> <p>&nbsp;</p> <p><em><span style="text-decoration: underline;">Britain</span></em></p> <p>The Times</p> <p>- Hurricane Energy has made another oil discovery near the Shetland Islands, bolstering hopes that it may have the biggest find in British waters this century. The Surrey-based oil company is expected to announce today that surveys of its Halifax well in an area off the west of the Shetland Islands have identified a “kilometre-deep oil column” linked to its existing Lancaster find. <a href="http://bit.ly/2n89A4h" title="http://bit.ly/2n89A4h">http://bit.ly/2n89A4h</a></p> <p>- OPEC ministers are to consider extending their agreement to curb supplies for a further six months, it said yesterday as it reported high levels of compliance with the deal to date. A committee of OPEC and non-OPEC ministers met in Kuwait to monitor compliance with the November accord, under which the cartel and other countries, including Russia, agreed to cut output by a combined 1.8 million barrels per day for the first six months of 2017. <a href="http://bit.ly/2n7ZyzX" title="http://bit.ly/2n7ZyzX">http://bit.ly/2n7ZyzX</a></p> <p>The Guardian</p> <p>- British Prime Minister Theresa May will meet Nicola Sturgeon in Scotland on Monday at the start of the week in which she will trigger Britain’s departure from the EU, and argue that the four nations of the UK represent an “unstoppable force”. May is visiting Scotland as part of a tour of all four UK nations before she formally triggers Brexit, starting the two-year EU withdrawal process. <a href="http://bit.ly/2n80MeF" title="http://bit.ly/2n80MeF">http://bit.ly/2n80MeF</a></p> <p>- Talks aimed at restoring Northern Ireland’s power-sharing government have broken down after Sinn Féin said that the party would not be nominating Michelle O’Neill, its leader in Northern Ireland, for the post of deputy first minister. An option for the British and Irish governments who are overseeing the talks would be to hold fresh elections just weeks after the previous electoral contest in March. Another option would be to impose direct rule on the region from Westminster. <a href="http://bit.ly/2n84BR6" title="http://bit.ly/2n84BR6">http://bit.ly/2n84BR6</a></p> <p>The Telegraph</p> <p>- US shared offices company WeWork will almost double its space in London this year, as it launches a 1.2 million pound ($1.50 million) award scheme to back UK start-ups. It is launching an award scheme for companies at three stages: those in “incubation” stage with a specific project needing research and development funding; those wanting to launch an existing business; and companies who want to scale up their activities. <a href="http://bit.ly/2n89fyx" title="http://bit.ly/2n89fyx">http://bit.ly/2n89fyx</a></p> <p>- Investments giant Old Mutual is selling a $446 million stake in its asset management arm in the latest stage of its plan to split itself up into four independent companies. The finance firm is cutting its stake in OM Asset Management in half, losing its majority position by selling down from a 50.8 percent shareholding to 25.9 percent. <a href="http://bit.ly/2n8dQAC" title="http://bit.ly/2n8dQAC">http://bit.ly/2n8dQAC</a></p> <p>Sky News</p> <p>- Supermarkets are cutting fuel prices just days after official figures showed sharp increases at the pumps had helped pushed inflation to a three-and-a-half year high. Tesco , Britain's biggest supermarket, said it was cutting the cost of petrol and diesel by 2 pence per litre at all of its petrol stations. The cuts come after a barrel of Brent crude slipped below $50 this week for the first time since November. Sainsbury's and Asda also said they were cutting prices by 2 pence a litre. <a href="http://bit.ly/2n866yP" title="http://bit.ly/2n866yP">http://bit.ly/2n866yP</a></p> <p>- EasyJet will announce within weeks the location of a new European base as Britain's airline industry grapples with the potential consequences of a 'hard Brexit'. The low-cost carrier's board has pencilled in an April decision on the location of a new air operator's certificate (AOC), which will allow it to continue flying between EU member states. The decision will effectively entail the establishment of a new legal headquarters for easyJet. <a href="http://bit.ly/2n7VXSv" title="http://bit.ly/2n7VXSv">http://bit.ly/2n7VXSv</a></p> <p>The Independent</p> <p>- Theresa May’s suggestion that no Brexit deal was better than a bad deal risked condemning UK manufacturing to a “painful and costly” exit from the EU, an employers’ body EEF has warned. It said that losing access to the single market and the customs union would be “simply unacceptable”. Without a favourable trade deal, average tariffs for manufacturing exports to the EU could be expected to increase by approximately 5.3 per cent, the body said. <a href="http://ind.pn/2n8eq1g" title="http://ind.pn/2n8eq1g">http://ind.pn/2n8eq1g</a></p> <p>- Cadbury will consider shrinking the size of its products or raising its prices after Brexit, the company has said. Cadbury would follow other food manufacturers in using an industry tactic known as “shrinkflation” to offset the cost of Brexit. <a href="http://ind.pn/2n8ajSX" title="http://ind.pn/2n8ajSX">http://ind.pn/2n8ajSX</a></p> <p>&nbsp;</p> http://www.zerohedge.com/news/2017-03-27/frontrunning-march-27#comments American people of German descent Bank of Canada Barclays Barclays Business Business China Climate change skepticism and denial Corruption Crude Department of State Deutsche Bank Donald Trump Economy European Union Google Illinois Iraq Iraqi military Ireland Kuwait Nomination OPEC Organization of Petroleum-Exporting Countries Politics of the United States Reuters Reuters Standard Chartered The Apprentice Transparency U.S. President Donald Trump's administration Vladimir Putin White House White House WWE Hall of Fame Mon, 27 Mar 2017 11:50:49 +0000 Tyler Durden 591801 at http://www.zerohedge.com Gold, Silver Rise 2.5% and 3.2% As ‘Trump Trade’ Fades http://www.zerohedge.com/news/2017-03-27/gold-silver-rise-25-and-32-%E2%80%98trump-trade%E2%80%99-fades <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;"><a href="http://www.goldcore.com/us/gold-blog/gold-silver-rise-2-5-3-2-trump-trade-fades/"><strong>Gold, Silver Rise 2.5% and 3.2% As ‘Trump Trade’ Fades</strong></a></p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;">Gold and silver jumped another 1% overnight in Asia, building on the respective 1.5% and 2.2% gains seen last week. The 'Trump trade' is fading, impacting stock markets and risk off has returned to global markets with the Nikkei, S&amp;P 500 futures and European stocks weakening.</p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;">The precious metals had their second consecutive week of gains last week. Gold rose 1.5% and silver 2% while&nbsp;platinum rose 0.5% and palladium surged 4.8%.&nbsp;Today, gold has risen from $1,247.90 to a one month high of $1,259 per ounce and silver from&nbsp;$17.74 to $17.92 per ounce.</p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px; text-align: center;"><a href="http://www.goldcore.com/ie/wp-content/uploads/sites/19/2017/03/gold-silver-March-27-2017.jpg"><img src="http://www.goldcore.com/ie/wp-content/uploads/sites/19/2017/03/gold-silver-March-27-2017.jpg" width="625" height="468" style="height: auto; max-width: 100%; display: block; margin-left: auto; margin-right: auto;" class="aligncenter size-full wp-image-9413" /></a><em><strong>Market Performance 2017 YTD&nbsp;</strong></em></p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;">The precious metals continue to outperform most assets in 2017.&nbsp;Year to date, gold is 9% higher and silver is 11.7% higher. Platinum is 8.4% higher and palladium has surged 18% to two year highs.</p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;">Gold and silver have eked out gains as the dollar and stocks have come under pressure after U.S. President Donald Trump failed in his attempts to abolish Obama care.&nbsp;Trump suffered a major political setback on healthcare reform, raising doubts about his ability to steer the economic agenda.</p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;">The dollar has fallen to the lowest level in five months and stock markets globally are seeing sharp falls today.&nbsp;Trump's inability to deliver on a major election campaign promise marked a big defeat for a Republican president whose own party controls Congress, and raised doubts whether he would be able to push through tax reforms and mega-spending packages.</p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;">Growing U.S. political&nbsp; uncertainty is creating concerns that a recent pick-up in global business and consumer sentiment, particularly in Asia, may be impacted.</p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;">Bullion coin and bar demand remains robust. US Mint data shows that strong demand for gold and silver coins continued last week.</p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;">Sales of gold coins were the highest since the week ended February 10 and silver coin sales were the highest since the week ending January 20.</p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;">As reported by&nbsp;<a href="http://www.coinnews.net/2017/03/25/gold-silver-log-second-week-of-gains/" target="_blank">Coin News</a>:</p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;">-&nbsp;<a href="http://www.goldcore.com/ie/our-products/gold-coins/" target="_blank"><strong>Gold coins</strong></a>&nbsp;advanced by 13,000 ounces after rising by 8,000 ounces last week. Splits include 9,000 ounces in American Gold Eagles compared to 5,500 ounces previously and 4,000 ounces in American Gold Buffalo compared to 2,500 ounces previously.</p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;">-&nbsp;<a href="http://www.goldcore.com/ie/our-products/silver-coins/" target="_blank"><strong>Silver coins</strong></a>&nbsp;jumped by 795,000 ounces compared to 220,000 ounces previously. And like in the last two weeks, American Silver Eagles accounted for all sales.</p> <table style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;" border="1" width="100%" align="center"> <tbody> <tr> <th style="font-family: inherit; font-size: inherit;" colspan="7">US Mint Bullion Sales (# of coins)</th> </tr> <tr> <td style="font-family: inherit; font-size: inherit;" align="left">&nbsp;</td> <td style="font-family: inherit; font-size: inherit;" align="center"><strong>Friday Sales</strong></td> <td style="font-family: inherit; font-size: inherit;" align="center">Last Week</td> <td style="font-family: inherit; font-size: inherit;" align="center"><strong>This Week</strong></td> <td style="font-family: inherit; font-size: inherit;" align="center">Feb Sales</td> <td style="font-family: inherit; font-size: inherit;" align="center"><strong>Mar Sales</strong></td> <td style="font-family: inherit; font-size: inherit;" align="center">2017 Sales</td> </tr> <tr> <td style="font-family: inherit; font-size: inherit;" align="left">$100 American Eagle 1 Oz Platinum Coin</td> <td style="font-family: inherit; font-size: inherit;" align="center"><strong>0</strong></td> <td style="font-family: inherit; font-size: inherit;" align="center">0</td> <td style="font-family: inherit; font-size: inherit;" align="center"><strong>0</strong></td> <td style="font-family: inherit; font-size: inherit;" align="center">0</td> <td style="font-family: inherit; font-size: inherit;" align="center"><strong>0</strong></td> <td style="font-family: inherit; font-size: inherit;" align="center">20,000</td> </tr> <tr> <td style="font-family: inherit; font-size: inherit;" align="left">$50 American Eagle 1 Oz Gold Coin</td> <td style="font-family: inherit; font-size: inherit;" align="center"><strong>0</strong></td> <td style="font-family: inherit; font-size: inherit;" align="center">2,500</td> <td style="font-family: inherit; font-size: inherit;" align="center"><strong>8,500</strong></td> <td style="font-family: inherit; font-size: inherit;" align="center">21,000</td> <td style="font-family: inherit; font-size: inherit;" align="center"><strong>14,500</strong></td> <td style="font-family: inherit; font-size: inherit;" align="center">122,000</td> </tr> <tr> <td style="font-family: inherit; font-size: inherit;" align="left">$25 American Eagle 1/2 Oz Gold Coin</td> <td style="font-family: inherit; font-size: inherit;" align="center"><strong>0</strong></td> <td style="font-family: inherit; font-size: inherit;" align="center">1,000</td> <td style="font-family: inherit; font-size: inherit;" align="center"><strong>0</strong></td> <td style="font-family: inherit; font-size: inherit;" align="center">5,000</td> <td style="font-family: inherit; font-size: inherit;" align="center"><strong>1,000</strong></td> <td style="font-family: inherit; font-size: inherit;" align="center">25,000</td> </tr> <tr> <td style="font-family: inherit; font-size: inherit;" align="left">$10 American Eagle 1/4 Oz Gold Coin</td> <td style="font-family: inherit; font-size: inherit;" align="center"><strong>0</strong></td> <td style="font-family: inherit; font-size: inherit;" align="center">2,000</td> <td style="font-family: inherit; font-size: inherit;" align="center"><strong>0</strong></td> <td style="font-family: inherit; font-size: inherit;" align="center">4,000</td> <td style="font-family: inherit; font-size: inherit;" align="center"><strong>2,000</strong></td> <td style="font-family: inherit; font-size: inherit;" align="center">42,000</td> </tr> <tr> <td style="font-family: inherit; font-size: inherit;" align="left">$5 American Eagle 1/10 Oz Gold Coin</td> <td style="font-family: inherit; font-size: inherit;" align="center"><strong>0</strong></td> <td style="font-family: inherit; font-size: inherit;" align="center">20,000</td> <td style="font-family: inherit; font-size: inherit;" align="center"><strong>5,000</strong></td> <td style="font-family: inherit; font-size: inherit;" align="center">30,000</td> <td style="font-family: inherit; font-size: inherit;" align="center"><strong>35,000</strong></td> <td style="font-family: inherit; font-size: inherit;" align="center">190,000</td> </tr> <tr> <td style="font-family: inherit; font-size: inherit;" align="left">$50 American Buffalo 1 Oz Gold Coin</td> <td style="font-family: inherit; font-size: inherit;" align="center"><strong>0</strong></td> <td style="font-family: inherit; font-size: inherit;" align="center">2,500</td> <td style="font-family: inherit; font-size: inherit;" align="center"><strong>4,000</strong></td> <td style="font-family: inherit; font-size: inherit;" align="center">15,000</td> <td style="font-family: inherit; font-size: inherit;" align="center"><strong>7,000</strong></td> <td style="font-family: inherit; font-size: inherit;" align="center">54,000</td> </tr> <tr> <td style="font-family: inherit; font-size: inherit;" align="left">$1 American Eagle 1 Oz Silver Coin</td> <td style="font-family: inherit; font-size: inherit;" align="center"><strong>0</strong></td> <td style="font-family: inherit; font-size: inherit;" align="center">220,000</td> <td style="font-family: inherit; font-size: inherit;" align="center"><strong>795,000</strong></td> <td style="font-family: inherit; font-size: inherit;" align="center">1,215,000</td> <td style="font-family: inherit; font-size: inherit;" align="center"><strong>1,295,000</strong></td> <td style="font-family: inherit; font-size: inherit;" align="center">7,637,500</td> </tr> <tr> <td style="font-family: inherit; font-size: inherit;" align="left">2017 Effigy Mounds 5 Oz Silver Coin</td> <td style="font-family: inherit; font-size: inherit;" align="center"><strong>0</strong></td> <td style="font-family: inherit; font-size: inherit;" align="center">0</td> <td style="font-family: inherit; font-size: inherit;" align="center"><strong>0</strong></td> <td style="font-family: inherit; font-size: inherit;" align="center">19,500</td> <td style="font-family: inherit; font-size: inherit;" align="center"><strong>0</strong></td> <td style="font-family: inherit; font-size: inherit;" align="center">19,500</td> </tr> </tbody> </table> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;">Speculators became bullish on gold and raised net gold longs last week. Bullion banks, hedge funds and money managers boosted their net long positions in COMEX gold after two weeks of cuts and reduced them slightly in silver in the week to March 21, U.S. Commodity Futures Trading Commission (CFTC) data showed on Friday.</p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;">There is now the real risk that Trump becomes a "lame duck" President and that his business friendly policies struggle to be enacted. This bodes badly for stocks and the dollar and well for&nbsp;<a href="http://info.goldcore.com/gold-is-a-safe-haven-asset" target="_blank">safe haven gold</a>&nbsp;which should continue to see risk averse flows.</p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;">&nbsp;</p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;"><strong>Gold and Silver Bullion - News and&nbsp;Commentary</strong></p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;"><strong><a href="http://www.reuters.com/article/global-precious-idUSL3N1H406M">Gold hits 1-mth high as dollar slides on Trump healthcare failure (Reuters.com)</a></strong></p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;"><strong><a href="https://www.theguardian.com/business/live/2017/mar/27/shares-slide-pound-rallies-us-dollar-trump-healthcare-failure-rattles-markets-business-live">Shares slide and pound rallies as Trump's healthcare failure rattles markets (TheGuardian.com)</a></strong></p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;"><strong><a href="http://www.reuters.com/article/us-global-markets-idUSKBN16Y016">Stocks stumble on U.S. policy woes; Trumpflation trades suffer (Reuters.com)</a></strong></p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;"><strong><a href="https://www.fxstreet.com/analysis/gold-rallies-to-a-one-month-high-201703270718">Gold rallies to a one-month high (FXStreet.com)</a></strong></p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;"><strong><a href="http://www.coinnews.net/2017/03/25/gold-silver-log-second-week-of-gains/">Gold, Silver Log Second Week of Gains; US Mint Bullion Sales Jump (CoinNews.net)</a></strong></p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;"><img src="http://www.goldcore.com/ie/wp-content/uploads/sites/19/2017/03/greenback-slides-through-200-day-moving-average.png" style="height: auto; max-width: 100%;" /></p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;"><strong><a href="https://www.bloomberg.com/news/articles/2017-03-27/trump-trades-still-show-life-but-the-signs-are-fading-fast">These Charts Show Alarm Bells Ringing on the Trump Trade (Bloomberg.com)</a></strong></p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;"><strong><a href="http://blogs.barrons.com/asiastocks/2017/03/26/gold-is-back-as-dollars-reserve-status-questioned/">Gold Is Back As Dollar’s Reserve Status Questioned (Barrons.com)</a></strong></p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;"><strong><a href="http://www.paulcraigroberts.org/2017/03/23/richie-allen-wonders-whats-great-uk-bombing-muslims-inviting-attack/">“They hate our freedom?” - Paul Craig Roberts (PaulCraigRoberts.org)</a></strong></p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;"><strong><a href="http://www.valuewalk.com/2017/03/federal-reserve-almost-insolvent/">Federal Reserve is almost insolvent (ValueWalk.com)</a></strong></p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;"><strong><a href="https://www.fxstreet.com/news/gold-gains-altitude-nears-200-dma-201703270135">Gold gains altitude, nears 200-DMA (FXStreet.com)</a></strong></p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;"><a href="http://info.goldcore.com/7-real-risks-to-your-gold-ownership" rel="attachment wp-att-5047"><img src="http://www.goldcore.com/news/wp-content/uploads/sites/16/2016/03/7RealRisksBlogBanner.jpg" alt="7RealRisksBlogBanner" width="822" height="430" style="height: auto; max-width: 100%;" class="alignnone wp-image-5047" /></a></p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;"><strong>Gold Prices (LBMA AM)</strong></p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;">27 Mar: USD 1,256.90, GBP 1,000.49 &amp; EUR 1,157.86 per ounce<br />24 Mar: USD 1,244.00, GBP 996.20 &amp; EUR 1,150.82 per ounce<br />23 Mar: USD 1,247.90, GBP 997.95 &amp; EUR 1,157.93 per ounce<br />22 Mar: USD 1,246.10, GBP 999.50 &amp; EUR 1,154.76 per ounce<br />21 Mar: USD 1,232.05, GBP 989.21 &amp; EUR 1,141.37 per ounce<br />20 Mar: USD 1,233.00, GBP 993.92 &amp; EUR 1,146.57 per ounce<br />17 Mar: USD 1,228.75, GBP 991.85 &amp; EUR 1,140.53 per ounce</p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;"><strong>Silver Prices (LBMA)</strong></p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;">27 Mar: USD 17.94, GBP 14.25 &amp; EUR 16.51 per ounce<br />24 Mar: USD 17.63, GBP 14.11 &amp; EUR 16.31 per ounce<br />23 Mar: USD 17.55, GBP 14.04 &amp; EUR 16.27 per ounce<br />22 Mar: USD 17.58, GBP 14.12 &amp; EUR 16.30 per ounce<br />21 Mar: USD 17.31, GBP 13.88 &amp; EUR 16.01 per ounce<br />20 Mar: USD 17.23, GBP 13.92 &amp; EUR 16.03 per ounce<br />17 Mar: USD 17.40, GBP 14.08 &amp; EUR 16.21 per ounce</p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;"><strong><br />Recent Market Updates</strong></p> <p style="color: #333333; 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font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;"><strong><br />Access&nbsp;<a href="http://info.goldcore.com/goldcore_email_subscription_preferences" target="_blank">Daily and Weekly Updates Here</a></strong></p> <p style="color: #333333; font-family: Georgia, &quot;Times New Roman&quot;, &quot;Bitstream Charter&quot;, Times, serif; font-size: 16px;"><strong>Interested in learning more about physical gold and silver?<br /></strong><strong><a href="http://www.goldcore.com/">Call GoldCore</a>&nbsp;and speak with a gold and silver specialist today</strong></p> http://www.zerohedge.com/news/2017-03-27/gold-silver-rise-25-and-32-%E2%80%98trump-trade%E2%80%99-fades#comments American Buffalo American Silver Eagle Bullion coin Business Coins Commodity Futures Trading Commission Congress Consumer Sentiment Currency Donald Trump Eagle European Union Federal Reserve Gambling Gold coin Greece Matter Nikkei Nikkei 225 Precious Metals Precious metals Reuters S&P 500 Silver Silver as an investment U.S. Commodity Futures Trading Commission United States dollar US Federal Reserve Mon, 27 Mar 2017 11:48:37 +0000 GoldCore 591800 at http://www.zerohedge.com South Africa's Zuma Unexpectedly Recalls Gordhan From International Roadshow; Rand Tumbles http://www.zerohedge.com/news/2017-03-27/south-africas-zuma-unexpectedly-recalls-gordhan-international-roadshow-rand-tumbles <p>The rand tumbled as much as 1.7% and banking shares on the Johannesburg bourse fell more than 2% after South African President Jacob Zuma unexpectedly ordered Finance Minister Pravin Gordhan to return from an investor roadshow to Britain and the United States on Monday because he "did not give permission for the trip" a government source said. </p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2017/03/27/usdzar.jpg"><img src="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2017/03/27/usdzar_0.jpg" width="500" height="225" /></a></p> <p>"They were told last night or this morning to come back... the presidency did not give permission for the trip," the government source said.</p> <p>Gordhan's team on the trip to London, Boston and New York included deputy finance minister Mcebisi Jonas and Treasury director general Lungisa Fuzile, as well as business executives and union leaders.</p> <p>Appointed in late 2015 after a predecessor's sudden sacking, Gordhan was in London for the first leg of a week-long non-deal investor roadshow in Britain and the United States, <a href="http://www.reuters.com/article/us-safrica-gordhan-idUSKBN16Y0XM?il=0">Reuters reported</a>. </p> <p>Weak economic growth and tensions within the ruling party African National Congress (ANC) have put South Africa's investment grade credit rating at risk. Recently Zuma <a href="http://www.zerohedge.com/news/2017-03-05/its-declaration-war-south-africas-president-calls-confiscation-white-land">called on parliament to confiscate </a>the land owned by "white people", a move reminiscent to events that took place in Zimbabwe that led to the collapse of the country's economy and currency.</p> <p>Africa's most industrialised economy escaped being downgraded to junk status last year. S&amp;P Global Ratings and Fitch Ratings both rank the sovereign one level above junk, while Moody's puts it two notches higher. Moody's, which put South Africa on negative watch in its latest review, is due to revisit that on April 7, followed by S&amp;P at the beginning of June. </p> <div class="field field-type-filefield field-field-image-teaser"> <div class="field-items"> <div class="field-item odd"> <img class="imagefield imagefield-field_image_teaser" width="1046" height="470" alt="" src="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/usdzar.jpg?1490613940" /> </div> </div> </div> http://www.zerohedge.com/news/2017-03-27/south-africas-zuma-unexpectedly-recalls-gordhan-international-roadshow-rand-tumbles#comments African National Congress (ANC) Business Economy Finance Financial services Fitch High-yield debt Investment Grade Jacob Zuma Moody's Investors Service National Treasury Politics Pravin Gordhan ratings Reuters South African rand Zulu people Zuma Mon, 27 Mar 2017 11:29:22 +0000 Tyler Durden 591799 at http://www.zerohedge.com Republican Lawmaker Quits Freedom Caucus Over Healthcare Bill Disagreement http://www.zerohedge.com/news/2017-03-27/republican-lawmaker-quits-freedom-caucus-over-healthcare-bill-disagreement <p>Republican Representative Ted Poe <a href="http://www.reuters.com/article/us-usa-obamacare-poe-idUSKBN16X13K">resigned </a>from the House Freedom Caucus on Sunday in disagreement over the conservative group's role in sinking President Trump healthcare plan. He suggested his resignation was because he wanted to vote for the Republican healthcare proposal which was adamantly opposed by the right-wing caucus. </p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2017/03/27/poe%20quits.jpg"><img src="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2017/03/27/poe%20quits_0.jpg" width="500" height="281" /></a></p> <p>“I have resigned from the House Freedom Caucus,” Poe said in a statement. Poe broke with the House Freedom Caucus’s views of the GOP healthcare proposal and planned to vote for the bill, which House leaders ultimately pulled from the floor on Friday.</p> <p>Poe said his decision to leave the caucus will enable him to better serve his constituents. </p> <p>“In order to deliver on the conservative agenda we have promised the American people for eight years, we must come together to find solutions to move this country forward. Saying no is easy, leading is hard, but that is what we were elected to do. Leaving this caucus will allow me to be a more effective Member of Congress and advocate for the people of Texas. It is time to lead,” Poe added.</p> <p>Poe told Caucus chairman Rep. Mark Meadows about his departure from the group, according to a tweet by <a href="https://twitter.com/ChadPergram">reporter Chad Pergram</a>.&nbsp; The Freedom Caucus does not keep an official list of members, and Poe was a recent addition to the group. </p> <p>Poe was in favor of the Republican legislation, but the Freedom Caucus argued the proposal did not go far enough in repealing the 2010 Affordable Care Act, popularly known as Obamacare. </p> <p>The Freedom Caucus, consisting of the House of Representatives' most conservative members, was instrumental in dealing Trump a stunning political setback on Friday when Republican House leaders pulled the healthcare legislation, derailing a major 2016 election campaign promise of the president and his allies. Trump's fellow Republicans control both houses of Congress.</p> <p>Trump had courted Freedom Caucus lawmakers intensively. Outside conservative groups such as the Club for Growth and Heritage Action for America that are closely aligned with the Freedom Caucus had strongly opposed the Republican healthcare bill and urged lawmakers to vote against it. </p> <p>The caucus, rooted in the Tea Party movement, said the Affordable Health Care Act (AHCA) did not fulfill the Republican promise to fully repeal and replace ObamaCare. Despite President Trump’s and House Speaker Paul Ryan’s late attempts to amend the bill to gain support from the caucus, Meadows said the bill does not do enough.&nbsp; </p> <p>Trump reportedly threatened to target Meadows and other naysayers politically if they opposed the bill. Despite his threats, the House Freedom Caucus did not budge and Ryan indefinitely postponed a vote on the AHCA. </p> <p>In a tweet on Sunday morning, Trump lashed out at both the Freedom Caucus and other conservatives, saying their actions had left "Democrats smiling in D.C."</p> <div class="field field-type-filefield field-field-image-teaser"> <div class="field-items"> <div class="field-item odd"> <img class="imagefield imagefield-field_image_teaser" width="640" height="360" alt="" src="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/poe%20quits.jpg?1490611710" /> </div> </div> </div> http://www.zerohedge.com/news/2017-03-27/republican-lawmaker-quits-freedom-caucus-over-healthcare-bill-disagreement#comments 115th United States Congress Club for Growth and Heritage Action for America Congress Donald Trump Freedom Caucus Heritage Action House of Representatives Obamacare Patient Protection and Affordable Care Act replacement proposals Politics Politics Politics of the United States Republican Party Republican Party Republican Party (United States) organizations Sports Tea Party movement Ted Poe United States Mon, 27 Mar 2017 10:57:29 +0000 Tyler Durden 591796 at http://www.zerohedge.com Trump Handed Merkel $375 Billion Invoice For NATO Defenses During Recent Visit http://www.zerohedge.com/news/2017-03-26/trump-handed-merkel-375-billion-invoice-nato-defenses-during-recent-visit <p>A couple of weeks ago we wrote several notes about German Chancellor Angela Merkel's painfully awkward visit to the White House.&nbsp; After meeting in private, the pair sat down in the oval office for a brief press conference where you could cut the tension with a knife.&nbsp; At one point someone from the media asked for a handshake but the request was promptly ignored.</p> <blockquote class="twitter-video"><p dir="ltr" lang="en">"Can we get a handshake?"</p> <p>*Merkel looks at Trump*</p> <p>*Trump grins*</p> <p>*Press is ushered out without any handshake* <a href="https://t.co/dKxu5C5X9Y">pic.twitter.com/dKxu5C5X9Y</a></p> <p>— Steve Kopack (@SteveKopack) <a href="https://twitter.com/SteveKopack/status/842777050830266368">March 17, 2017</a></p></blockquote> <script src="//platform.twitter.com/widgets.js"></script><p>&nbsp;</p> <p>Now, a couple of weeks later, we learn what may have prompted some of the tension in the room between Merkel and Trump that day.&nbsp; According to a new report from <a href="http://www.thetimes.co.uk/article/germany-dismisses-white-houses-intimidating-300bn-bill-for-defence-dl7dk629k">The Times of London</a> today, <strong>Trump apparently took advantage of Merkel's visit to Washington D.C. to pass her a $375 billion invoice for 'overdue' NATO defense expenses.</strong>&nbsp; Per <a href="http://thehill.com/homenews/administration/325847-donald-trump-printed-out-made-up-ps300bn-nato-invoice-and-handed-it">The Hill</a>, Merkel largely ignored the invoice though it certainly seems to have accomplished it's goal of ruffling some feathers.</p> <blockquote><div class="quote_start"> <div></div> </div> <div class="quote_end"> <div></div> </div> <p><strong>“The concept behind putting out such demands is to intimidate the other side, but the chancellor took it calmly and will not respond to such provocations,” </strong>a German minister told the newspaper.</p> <p>&nbsp;</p> <p>Trump during his presidential campaign railed against the NATO alliance and has called for member countries to increase defense spending to support the organization.</p> <p>&nbsp;</p> <p><strong>Merkel “ignored the provocation,”</strong> the Times said.</p> </blockquote> <p>As reported, the invoice was based on a 2014 pledge from NATO countries to spend 2% of their GDP on national defense.&nbsp; As such, <strong>Trump allegedly instructed aides to calculate how much German spending fell below that 2% target for the past 12 years, added interest and created an invoice which he hand delivered.</strong></p> <p>Meanwhile, with the benefit of this new information, Trump's tweets from March 18th, after his meetings with Merkel, take on all new meaning.</p> <blockquote class="twitter-tweet"><p dir="ltr" lang="en">Despite what you have heard from the FAKE NEWS, I had a GREAT meeting with German Chancellor Angela Merkel. Nevertheless, Germany owes.....</p> <p>— Donald J. Trump (@realDonaldTrump) <a href="https://twitter.com/realDonaldTrump/status/843088518339612673">March 18, 2017</a></p></blockquote> <script src="//platform.twitter.com/widgets.js"></script><blockquote class="twitter-tweet"> <p dir="ltr" lang="en">...vast sums of money to NATO &amp; the United States must be paid more for the powerful, and very expensive, defense it provides to Germany!</p> <p>— Donald J. Trump (@realDonaldTrump) <a href="https://twitter.com/realDonaldTrump/status/843090516283723776">March 18, 2017</a></p></blockquote> <script src="//platform.twitter.com/widgets.js"></script><p>&nbsp;</p> <p>And while Merkel has largely ignored the invoice, other German ministers have decided upon more aggressive responses.&nbsp; Per the <a href="http://www.independent.co.uk/news/world/americas/us-politics/donald-trump-angela-merkel-nato-bill-defence-ignore-usa-germany-spending-a7650636.html">Independent</a>:</p> <blockquote><div class="quote_start"> <div></div> </div> <div class="quote_end"> <div></div> </div> <p>In response to the claims, German defence minister Ursula Von der Leyen rejected the notion the European nation owed the US or Nato.</p> <p>&nbsp;</p> <p>She issued a statement saying: “There is no debt account at Nato</p> <p>&nbsp;</p> <p><strong>“Defence spending also goes into UN peacekeeping missions, into our European missions and into our contribution to the fight against [Isis] terrorism.”</strong></p> <p>&nbsp;</p> <p>Her comments were backed by Ivo Daalder, permanent representative to Nato from 2009 to 2013 under the Obama administration, who queried the President’s understanding of the organisation.</p> <p>&nbsp;</p> <p>He tweeted: <strong>“Sorry Mr President, that’s not how Nato works. The US decides for itself how much it contributes to defending Nato.</strong></p> <p>&nbsp;</p> <p><strong>“This is not a financial transaction, where Nato countries pay the US to defend them. It is part of our treaty commitment.”</strong></p> </blockquote> <p>Never a dull moment in the Trump White House.</p> <div class="field field-type-filefield field-field-image-teaser"> <div class="field-items"> <div class="field-item odd"> <img class="imagefield imagefield-field_image_teaser" width="648" height="399" alt="" src="http://www.zerohedge.com/sites/default/files/images/user230519/imageroot/2017.03.25%20-%20Merkel.JPG?1490554499" /> </div> </div> </div> http://www.zerohedge.com/news/2017-03-26/trump-handed-merkel-375-billion-invoice-nato-defenses-during-recent-visit#comments Angela Merkel Business Donald Trump Foreign policy of the Angela Merkel government German Lutherans Germany Germany Government House of Leyen Military NATO Newspaper North Atlantic Treaty Organization Obama Administration Obama administration Politics Politics Politics of Germany Twitter Twitter United Nations Ursula von der Leyen War Washington D.C. White House White House Mon, 27 Mar 2017 10:49:00 +0000 Tyler Durden 591771 at http://www.zerohedge.com FX Week Ahead: Highlights Include Article 50 And Sterling, Q4 GDP And The USD http://www.zerohedge.com/news/2017-03-27/fx-week-ahead-highlights-include-article-50-and-sterling-q4-gdp-and-usd <p><em>By Shant Movsesian (RANsquawk) and Rajan Dhall MSTA (RANsquawk/Tradingview)</em></p> <p>UK in the spotlight this week as Article 50 set to be triggered. Is this priced in to GBP? We’ll find out. The USD may start to find some support as key levels (against its major counterparts) near. Japanese year end on the Friday.</p> <p>Looking to next week, few can look past the impending triggering of Article 50 – on Wednesday – which is widely expected to produce a knee jerk hit on the Pound. Given the slow grind higher through the week, some would assume that much of this is priced in, with GBP arguably at (near term) fair value levels. The healthier mood in the Pound has been partially ‘aided’ by the BoE tone, where the majority of the MPC are warming to a rate hike closer in on the horizon. Higher than expected inflation reported this week was followed up by stronger retail sales, which went against the anecdotal evidence suggesting pressures on household income, but this will likely pass through further down the line. Cable remains inside 1.2000-1.2800 for now, so the focus could switch to EUR/GBP again.</p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2017/03/27/rajan%201.png"><img src="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2017/03/27/rajan%201_0.png" width="500" height="252" /></a></p> <p>The cross rate has been bolstered by the backdrop of improving data out of the EU as a whole, and this was underpinned by the PMI’s in Germany and France on Friday morning, leading to the composite index for both manufacturing and services beating expectations. The shift in ECB policy to a more neutral stance has also given the single currency a boost with some members advocating a rate move ahead of tapering. EUR/USD is now challenging the sell zone through 1.0800, but this will prove tough going ahead of the French elections, along with the clear rate differentials, which cannot be ignored as the market looks to ‘price in’ what is effectively ‘normalisation’ much further ahead.</p> <p>We look for 1.0900-1.0950 as the next major area of resistance in EUR/USD, and this will in part be down to what many see as an overreaction to the FOMC’s ‘dovish hike’. There was a clear case to suggest that USD gains had been overrun in response to the dot plot almost 3 months ago, but the retracement may be close to running its course, with USD/JPY value buyers likely to step in from circa 110.00 levels. Given next Friday is Japanese year end, we have to factor in some overshoot, but through this level, we can only see a major turnaround in global stocks taking us back to levels south of 107.00-108.00. Equities have stabilised (somewhat predictably) in recent sessions, but we may get some pre weekend volatility after the healthcare vote late Friday. </p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2017/03/27/rajan%202.png"><img src="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2017/03/27/rajan%202_0.png" width="500" height="252" /></a></p> <p>Focusing on US economic performance, Thursday’s Q4 GDP is the final reading, so core PCE could be of greater influence on US Treasury yields. Little else of note apart from a range of Fed speakers through the week. Plenty more in Japan to contend with, alongside repatriation flow, looking to the latest CPI data, industrial production and unemployment. </p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2017/03/27/rajan%203.png"><img src="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2017/03/27/rajan%203_0.png" width="500" height="252" /></a></p> <p>In Europe, we have a number of sentiment indices, headlined by Germany’s IFO survey on Monday, with the preliminary EU wide inflation releases towards the end of the week. <br />The commodity currencies will be trading largely on the back of the USD as well as Oil and base metals, though Friday sees the Jan GDP release for Canada. Friday’s CPI release was largely in line with expectations, giving credence to the cautious tone from the BoC. It is worth noting that gov Poloz is due to speak next week, but we are also watching the price action in Oil prices, where WTI is struggling to reclaim USD50.00.</p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2017/03/27/rajan%204.png"><img src="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2017/03/27/rajan%204_0.png" width="500" height="252" /></a></p> <p>Very little on the data schedule for either Australia or NZ, but we have domestic credit data in the former, which will shed some fresh light on worrisome residential leverage. ANZ business confidence also due. Moody’s cited economic resilience in NZ, and with the RBNZ sounding a less urgent tone on exchange rates, we expect NZD to find a modicum of support near term.&nbsp; </p> <p><a href="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2017/03/27/rajan%205.png"><img src="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2017/03/27/rajan%205_0.png" width="500" height="252" /></a></p> <p><em>Any opinions, chats, messages, news, research, analyses, prices, or other information contained on this Website are provided as general market information for educational and entertainment purposes only, and do not constitute investment advice. </em></p> <div class="field field-type-filefield field-field-image-teaser"> <div class="field-items"> <div class="field-item odd"> <img class="imagefield imagefield-field_image_teaser" width="1421" height="717" alt="" src="http://www.zerohedge.com/sites/default/files/images/user5/imageroot/rajan%201.png?1490612831" /> </div> </div> </div> http://www.zerohedge.com/news/2017-03-27/fx-week-ahead-highlights-include-article-50-and-sterling-q4-gdp-and-usd#comments Australia Bank of England BOE Business CPI Currency Economy Euro European Central Bank European Union Exchange rate federal government Foreign exchange market France Germany Gross domestic product Inflation International trade Japan Pound sterling Price Action Purchasing power RANSquawk Rates U.S. Treasury Unemployment Volatility Mon, 27 Mar 2017 10:46:45 +0000 Tyler Durden 591797 at http://www.zerohedge.com