Prices receded on the back of the easing of tensions in the Gulf with WTI dipping just below $60 which represents a drop of 6% since the previous Friday when the U.S. drone strike killed General Solaimani. As trailed earlier in the week, despite there remaining tensions on the back of that, there is simply too much supply in the market for prices to really spike up-unless of course there is a re-escalation of hostilities and more serious long term disruption to oil supplies through the Gulf.
FANGS ain’t what they used to be
When the FANG acronym was created during the teenies, it referred to Facebook, Amazon, Netflix, Google. Then Apple was added and Salesforce was also included to make FANGS. Google parent Alphabet then muscled its way in to make FAANGS. And now as we embark on the twenties we have FAANGS + which is code for all the above plus Tesla, Twitter, Alibaba and Baidu. Which some wags have distilled into FAANGS + BADTWAT.
Let’s stop with the acronyms and ask the more pertinent question: Will this group of big tech have the same seismic effect on equity market valuations in the next decade as it did in the past one? In case you are wondering: the answer is that big tech represented an increased in value of USD 4.3 Trillion in the teenies….
That great symbol of the USA, the American seal may just come up in your next pub quiz. The 13 red and white vertical stripes on the shield represent the 13 original colonies. What about the colours? Blue stands for vigilance, red for hardiness and valour and white means purity and innocence. If it doesn’t come up in the quiz, you can always use this to impress the saloon bar at large with your encyclopaedic knowledge- obviously in February after Dry January!
2020 Year of the Rat: Luck, Romance and Cleverness
There are 12 Chinese signs of the Zodiac which means that the Year of the Rat comes round every 12 years. If you were born in 1948, 1960, 1972, 1984 or 1996 you will have plenty of vitality and be used to overcoming unexpected disasters. We are told that to get maximum good fortune in 2020 we should put something red or green on our desks. SGM-FX’s “Chinese” Nick who has spent the last few years in Singapore, is taking no chances and is scouring his local Fulham boutiques for a poinsettia.
Discussion and Analysis by Humphrey Percy, Chairman and Founder
US Dollar Surging on a strong US economy together with further geopolitical tensions in the past week, USD is at its strongest versus EUR this year and came within a whisker of breaking through 1.06 in yesterday’s trading. Against the Japanese Yen USD was 154.55 which caused Japanese Finance Minister Shunichi Suzuki to break cover […]
France Quite simply the numbers do not add up for President Macron and his future in government, never mind La Belle France and its citizens : France is the third most indebted EU country after Greece and Italy with a debt to GDP ratio of 110.6%. In the past year the deficit has increased by […]
EUR European Central Bank President Madame Lagarde made two bold statements last week: the ECB does not target exchange rates and the ECB is not dependent on Federal Reserve policy. While at one level both are sometimes true, it is brave to explicitly make those statements at a ECB press conference and more than risks […]