ALFO Markets Blog

What does a strong dollar mean for the world ?

What does a strong dollar mean for the world ?

In its attempt to fit, to the strong US Dollar, the world is changing quickly. The faster the dollar gets strong and the faster each economy must fit to the new world order. If there was anyone who didn’t took seriously the power of King Dollar, should think it again. Our-days the market interactions are...

The fixed income market can be hit by a perfect storm

The fixed income market can be hit by a perfect storm

The corporate bond markets, on both sides of the Atlantic, has been hit this week by a wave of declines. As a result, we saw high yield bond markets and also investment grade bond markets falling from the record levels reached weeks before. The US high yield bond index, one of the most important benchmark...

After the FED Taper Tantrum we have the ECB Transparency Tantrum

After the FED Taper Tantrum we have the ECB Transparency Tantrum

Uncertainty about the future is something common in the financial markets, but until last week, we haven’t seen such a confusion and such a hard reaction of the international markets to Mario Draghi’s speech. The markets were highly disappointed from the last ECB decision to not further expand the QE. The expectations were for at...

Italy’s bad bank won’t have the expected impact on Italy’s economy

Italy’s bad bank won’t have the expected impact on Italy’s economy

The 200 BN Euros of non-performing loans, in all the Italian banking system, is the number that decisively has pushed the Italian government to intervene in the banking system. After years of rising non-performing loans, after the vanish of the hope, to see a change of course in the bad loans, after that many European...

Sales in the automotive sector hit new records. How long will it last?

Sales in the automotive sector hit new records. How long will it last?

In this new global rally of new cars selling, the North American automotive sector is outperforming and is largely gaining market shares. October was one of the best month in terms of auto sales worldwide, supported by the strong sales in North America and Europe. The extraordinary jump on sales of 14% year on year...

Lessons from Bill Gross

Lessons from Bill Gross

We often have heard M. Gross explaining his opinions against the Fed’s monetary policy, but this time he gave us some good lessons. In his last letter to investors, he argued why the Fed was wrongdoing through its Twist operations. Intervening in the market with these Twist operations, the Fed has not further expand the...