Eurozone February inflation data due today
Via Reuters (citing US FINRA records) comes the news of the central character in the GME surge
Keith Gill, known as Roaring Kitty on YouTube and DeepF***ingValue on Reddit
- no longer a registered financial broker
- no longer licensed to act as a broker buying and selling securities on behalf of clients or as an investor adviser providing advice about securities to clients.
- PEC+ will be making a decision on April output, with many expecting the cartel and its allies will bump production higher from April. Saudi Arabia is, however, urging caution on supply increases (at least its doing so publicly), while Russia is signalling it wants to push output higher.
- Many analysts, including OPEC’s own, have concluded the market can likely absorb a 1.5 million b/d production increase without tipping into surplus, but releasing all that crude at once risks spooking traders and unraveling the price rally. Maintaining the cuts, however, could overheat the market and erode still fragile oil demand.
- Potentially on opposing sides once again are Russia, which has consistently pushed to pump more, and Saudi Arabia, whose energy minister Prince Abdulaziz bin Salman has urged the alliance to go slow.
Here is the link to Platts for much more (may be gated)
- Fiscal stimulus
- coronavirus vaccine rollout
- commodities on a price upswing
- tightening oil market
- Texas deep freeze shut-in US production temporarily
US dollar strategy from Bank of America
Bank of America Global Research discusses JPY outlook and now w forecast USD/JPY at 104 for mid-year and 106 for year-end. BofA forecasts EUR/JPY at 122 for year-end.
“As US rates have risen, USD/JPY has responded. Will higher US rates boost USD/JPY as it did in 2013 before QE3 tapering or in 2018 when USD/JPY was supported by higher US rates despite general JPY strength?,” BofA notes.
“We think three factors will limit JPY’s downside in 2021 and increase the risk of a JPY rally in case of a correction in the equity market: • Low FX carry compared to 2013 and 2018 . • Stretched positioning in risk assets, outpacing the economic cycle • Less unhedged demand for US assets (pension rebalancing complete, lifers focus on hedged bonds),” BofA adds.
Comments from the JPMorgan CEO
- I wouldn’t worry too much about the economy overheating
- There will be a gangbuster economy this year and next
- Let me be very clear, I would not buy 10 year Treasuries
- We were late to the SPAC game. I think you have to cautious
- Clearly there’s a lot of hype and a lot of sponsors you shouldn’t be doing business with
- Says he’d like to remain CEO for 5 years
- Remote work will reduce need for commercial real estate
US 10-year yields look to be pushing above 1.45% a short time ago but they’re back below now. Dimon has a lot of power but he can’t move 10s.
Closing changes for the main European bourses:
- UK FTSE 100 +1.5%
- German DAX +1.6%
- French CAC 40 +1.6%
- Spain IBEX +2.0%
- Italy MIB +1.8%