The way forward for the global market seem to be hitting an air pocket with significant rise in volatility. The feds commitment towards normalisation causing jitters in the market, which is aided by Argentinian debt crisis and escalating geo political tension. Bottomline, the time is about to come to buy into the market post correction. The long term trend still looks pretty bullish, based on Elliot Wave studies. My understanding is that the rise in interest rate, as long as it is driven by higher economic activities leading to real job creation, productivity growth, capital formation and ultimately consumption, it is a good news. The good thing is, job data, HSBC PMI, etc., are pointing towards higher economic activities. The only thing that would be interesting to see how the normalisation is calibrated by Fed and other central banks. I found the IMF Spillover/Staff Report 2014 very interesting read and hence sharing the link for howsoever interested: imf.org/external/np/pp/eng/2014/062514.pdf
Posted on: Sun, 03 Aug 2014 17:22:03 +0000
Trending Topics
Recently Viewed Topics
© 2015