Jerome Powell, chairman of the Board of Governors of the Federal Reserve System wrapped up his semi-annual visit to Capitol Hill basically saying all is well with the Fed’s implementation of monetary policy. Chairman Powell assured both the House yesterday and the Senate today that the labor market was at or near maximum employment although … Continue reading Not much moved me about Chairman Powell’s testimony this week …
A ceasefire is not a peace deal and hostilities between Iran and Israel are merely on simmer. Two countries with so much animosity against each other are not going to kiss and make up after twelve days of bombing, strafing, and killing. The ceasefire between Israel and Iran announced today by U.S. President Donald J. … Continue reading US-Israel-Iran: Did Trump do Netanyahu and Khamenei a solid?
Michelle Bowman, the Board of Governors of the Federal Reserve System’s vice-chair for supervision, will speak at 10:00 AM EDT at the International Journal of Central Banking conference in Prague. As vice-chair of supervision, Vice-Chair Bowman is responsible for the Board’s understanding of banks’ operations, banks’ major risks, how well banks manage these risks and … Continue reading Binary options: Miki Bowman speaks at 10:00 am today in the midst of intensified global risks …
Leave it to President Trump to cause a market mover in the EUR/USD yesterday when he shared that he was not in the mood to negotiate with Iran. According to FXStreet, a financial media publication, the President’s sentiments helped drive the EUR/USD below 1.1500 indicating a move to safe-haven assets including, ironically, the US dollar. … Continue reading U.S., Israel, and Iran: Yesterday’s 3pm EUR/USD expiry at 1.14794 took me for a loop.
The primary question I ask myself when looking at a binary options contract for foreign exchange is, “Why would anyone buy euros using US dollars?” I had that question answered in part by the report on changes in U.S. consumer prices released half an hour ago by the U.S. Bureau of Labor Statistics. According to … Continue reading Binary options: NADEX contracts go dark at 8:30 am EDT. Inflation report looked most messy.
I bought a contract on the NADEX betting that the EUR/USD would close above 1.1360 earlier this afternoon at 3 pm. I would not have been surprised had the EUR/USD closed above 1.1380 but lately I have been hedging my bets by 17 to 25 pips. Honestly other than ascertaining the broker spread based on … Continue reading Binary options: The dollar continued its weakening against the euro.
Are markets valid? Lately I have been questioning the validity of markets, specifically whether markets are the result of organic interactions between humans or whether markets are State-constructed funnels for moving portions of monetary energy from consumers to the government via taxes. I have to be mindful that markets are not some linear, mechanical construct … Continue reading Why should you care about what others are betting in the markets?
What has been weighing on the minds of binary options traders? Traders who purchased the NADEX binary options contract for the EUR/USD>1.1340 expiring at 11pm last night won their bet. The contract closed at 1.13761. The idea that the European Central Bank will cut its interbank rates tomorrow likely influenced traders’ outlook on the trajectory … Continue reading Binary options: What weighed on trader minds last night; first glance at Global South FX rates.
I am going to start paying more attention to the Global South. I flirted with what is happening in the Caribbean and Africa regarding their currencies and central banks and it is time to do so again. Granted, their currencies are considered by the west to be “exotic” pairs, but you cannot ignore the shifts we are seeing particularly on the Continent. Continue reading Binary options: Eyes on the Global South. Not too surprised about last night’s EUR/USD close.
Lawyers Write the Bets. Bankers Sell the Bets. 