SGM-FX insights

EU Inflation   The ECB’s belief is that from current 3% EU inflation will rise to 3.5% by November and then drop sharply back to 2% where it will stay for “years to come.” What can go wrong? Commodity prices continue their rise, supply chain bottlenecks squeeze goods’ prices and labour shortages continue. Having undershot […]

How Many?!   In case you were getting worried about the relative calm in foreign exchange markets, you might not need to fear for much longer. With as many as six central bank meetings this week, there is the potential for a whole host of chaos to play out in the foreign exchange market. A […]

UK Christmas cancelled due to soaring gas prices?   Those who find it hard to join the price of gas to a potential Christmas cancellation need to know that gas price rises have resulted in at least 2 large fertiliser companies closing. Those companies produce Co2 as a by product precipitating a shortage of Co2. […]

London’s Tube Map   For the first time this century the tube map has been redrawn with the long awaited Northern Line extension which puts new stations Battersea and Nine Elms on the network as of 0530am on Monday. In case you are confused having over enjoyed yourselves last night and spotted the redrawn tube […]

Reshuffle   Ahead of the Conservative party conference next month, the Prime Minister has pursued a cabinet reshuffle. Whilst Boris Johnson has maintained strong support amongst his own party, divisions within his cabinet have been evident amidst rising Covid-19 cases and a taxation hike. There were several changes within major offices of state. Liz Truss […]

US Core Consumer Price Index   Those like Federal Reserve Chair Powell who doubt the risk of inflation will be heartened by yesterday’s release which showed a slowing of a rise in core CPI at only 0.1% in August after a 0.3% rise in July. Inflation is not quite over as a risk however given […]

Vax on, Vax off   The relative calm regarding Covid-19 in the northern hemisphere has allowed economies to open up and realise the potential growth stored up over months of lockdowns and socio-economic restrictions. A good part of the true or at least the attributed root of the ability to open societies and economies once […]

Video Camera Glasses   Facebook and Rayban have co-operated on the development of glasses that will enable the wearer to answer the phone, check diary, read mail and surf the net. Well that’s OK then -providing you’re not driving at the time. They will cost USD 295 or GBP215 and will be widely available next […]

Australia   Locked down since July, New South Wales and crucially Sydney is preparing to ease restrictions from the end of September. Currently half of Australia’s 25 million population is locked down and pressure is increasing on the Australian government given its slowness in rolling out vaccines and with the onset of the summer down […]

Tax   The technical motion presented to the House of Commons yesterday has been passed by 319 votes to 248. The initiative will see the government move to impose a 1.25% hike in national insurance contributions and taxation on dividend incomes. The impact of taxation upon currency valuations is at present difficult to isolate and […]

US Dollar and Oil   The dollar rose 0.1% against the index basket to 92.25 and 10 year Treasury Yields reached 1.36% (the July 14 high was 1.42%). EUR stood at $1.1840. Oil WTI down almost a cent at $68.50 with evidence that consumption remains subdued in the major importing countries.   French Wine   […]

Labor Day   This could have been quite likely the most ironically timed public holiday in history. US markets and much of the US economy alike were closed yesterday for ‘Labor Day’ – a US public holiday celebrating the progress of workers’ rights and workers’ contributions to building today’s United States of America. However, Monday’s […]