With more countries either introducing or talking about instating negative interest rates— Japan was the latest to go minus, on Jan. 29 — many Americans are concerned about what might happen here if the Federal Reserve has to reverse course and go the sub-zero route, too. One particular part of the investment industry is likely more…
The Big Risk Looming in Your Money Market FundDetailsU.S. companies could see their bottom lines slashed if the U.K. votes to leave the European Union in a so-called Brexit referendum this summer, according to Bank of America. Fears that the Brits will choose to exit the bloc it’s been a member of for more than 40 years have already sparked turmoil in pound…
Why U.S. Investors Should Fear a ‘Brexit’DetailsGold prices staged a solid rebound on Tuesday as a weaker trading session in Asia and further depreciation in the Chinese yuan spurred investors to buy into safe haven assets. Gold futures for April delivery GCJ6, +1.02% jumped $7.60, or 0.6%, to $1,217.70 an ounce, rising for the fourth time in five sessions. The contract…
Gold rebounds as safe-haven demand returnsDetailsBank of America Merrill Lynch sees a 25 percent chance of a recession, but says the market is pricing in a 50 percent chance of a recession in the next 12 months. “In our view, not only is fear trumping fundamentals, but the fundamentals for the equity market are worse than for the overall economy,”…
BofA: Market Sees 50-50 Chance of RecessionDetailsAn unsettling trend has emerged from the heavy selling that sent global markets tumbling this year: Investors are getting nervous about the world’s biggest banks. The concerns about the banks are clearly reflected in the stock markets, where shares in banking giants are plunging. But there are also ominous signs in markets that investors use…
Nervousness about Global Banking Giants IntensifiesDetailsCentral banks have been pumping money into the global economy without a whole lot to show for it other than sharply higher stock prices, and even that has been on the downturn for the past year. Growth remains anemic, and worries are escalating that the U.S. and the rest of the world are on the…
$12.3 Trillion of QE has Added Up to...This?DetailsAs global stocks enter a bear market, gold is on the verge of bull status. Global stocks slumped Thursday as investors shunned risk worldwide amid concern that central-bank efforts to support economic growth are losing potency. Federal Reserve Chair Janet Yellen yesterday told Congress that market turbulence may weigh on the outlook for the economy…
Gold's Best Day in Seven Years Has Metal on Verge of Bull MarketDetailsGold prices surged on Thursday as investors tried to escape the global market rout by hiding in safe-haven assets. Gold for April delivery GCJ6 jumped $41.30, or 3.5%, to $1,235.90 an ounce, setting it on track for the highest close in about a year. The move came as equities tanked in Asia and Europe and…
Gold Jumps to 1-year High as Global Market Rout Spurs Safe-Haven BuyingDetailsGold edged up to near its highest since June on Tuesday, as uncertainty over global growth that has hammered stocks puts the precious metal on course for its longest rally since 2011. Tuesday would mark gold’s eighth straight day of gains as investors sought safe havens in the face of instability in other financial markets,…
Gold Eyes Longest Winning Run since 2011 as Safe Havens RuleDetailsGold rallied for an eighth straight day after topping $1,200 an ounce for the first time since June as increased concern about the state of the global economy hurt equity markets and boosted demand for a haven. Producers’ shares rallied. Bullion for immediate delivery rose as much as 0.5 percent to $1,195.66 and traded at…
Gold Tops $1,200 as Risk-Off Mode Sweeps Through World MarketsDetailsWith European banks sitting at multiyear lows, one widely followed market watcher said some of the biggest ones could go bankrupt. Former hedge fund manager and Goldman Sachs alumnus Raoul Pal said his scenario is one most investors aren’t looking at right now. Pal said the banking issues have the potential to overtake risks associated…
European Banks near 'Terrifying' Crisis: Raoul PalDetailsLess than two months after the Fed enacted its first rate hike in more than nine years, market talk already has turned to whether the central bank’s future may not be more hikes, but rather negative rates. Intensifying recession fears, volatile financial markets and moves toward negative rates by other central banks have triggered speculation…
Negative Rates in US? Here's Why It Could HappenDetails
