Central banks should learn to live with low inflation: BIS
September 14, 2016--Central banks should learn to live with inflation rates that persistently miss their targets rather than fuel debt with increasingly aggressive stimulus policies, a top economist at the Bank for International Settlements said on Wednesday.
Major central banks across the developed world have pushed interest rates to zero or below and printed trillions of dollars to stimulate their economies, driving bond yields to record lows but failing to significantly boost inflation.
Source: Reuters
Volatility Erupts in the World's Biggest Markets
September 14, 2016--BMO's Gallo says late September should be better for carry
Rand, Mexican peso are worst-performing majors in past month.
Volatility has reawakened in the $5.1 trillion foreign-exchange market, as traders start to imagine life without ultra-easy monetary policy.
Source: Bloomberg
Stocks and Bonds Are Both Overvalued, Fund Managers Say
September 14, 2016--Fund managers think bonds and stocks are both getting pricey, according to a survey released Tuesday.
A net 54% of respondents in the survey by Bank of America Merrill Lynch said that equities and bonds are both overvalued, a record high. The share of global fund managers saying stocks were overvalued was the highest since May 2000.
Source: Wall Street Journal
IEA releases Oil Market Report for September
September 13, 2016--Global oil demand slowing at a faster pace than predicted
Global oil demand growth is slowing at a faster pace than initially predicted, the newly released IEA Oil Market Report (OMR) for September informs subscribers.
For 2016, a gain of 1.3 mb/d is expected-a downgrade of 0.1 mb/d on our previous forecast due to a more pronounced 3Q16 slowdown. Momentum eases further to 1.2 mb/d in 2017 as underlying macroeconomic conditions remain uncertain
Source: IEA
13Sep/Basel III monitoring results published by the Basel Committee
September 13, 2016--All large internationally active banks meet Basel III minimum and CET1 target capital requirements
The Basel Committee today published the results of its latest Basel III monitoring exercise. The Committee established a rigorous reporting process to regularly review the implications of the Basel III standards for banks and it has published the results of previous exercises since 2012.
Source: BIS
ETF Securities September 2016 Outlook: Distorted markets & populism, QE's unintended repurcussions
September 13, 2016--10 focused themes important to investors for the remainer of 2016: populism, robotics and Brexit, amongst others.
Source: ETF Securities
Volatility funds in focus as markets slide
September 12, 2016--Computer-driven strategies and risk-parity funds in focus as market's summer calm ends.
Source: FT.com
Banks find blockchain adoption difficult
September 12, 2016--Unprecedented transparency of transactions sits uneasily with financiers.
Source: FT.com
ETF Securities-Infographic: Gold is a potential-September 2016
September 12, 2016--"Safe haven" asset: disasters and other shocks to the financial system may push gold prices higher
hedge against event 0r tail risk
diversifier of equity exposure and equity risk
hedge against uncertain central bank policy
Source: ETF Securities
HAL to pay: where hedge funds think AI can really work
September 12, 2016--Some funds using artificial intelligence already; others see obstacles to its success.
Artificial intelligence (AI) is transforming robotics, voice recognition, translation software and the promise of self-driving cars. It helps Netflix recommend films and Google DeepMind beat a human in a game of Go, an ancient Chinese board game many times more complex than chess. Can AI revolutionise the investment industry in the same way?
Source: risk.net