Posts Tagged ‘Michel Sapin’

Notes From Underground: The Bank That Kicked the Hornets Nest

July 7, 2014

The release of Thursday’s U.S. employment data synchronized with ADP’s private sector report of 281,000 jobs created. The Department of Labor had a gain of 288,000, including the strongest growth in government jobs since the onset of the great financial crisis. Being that July 3rd had very limited volume because of the holiday weekend, it was difficult to determine the genuine nature of the shortened trading activity. Thursday did see a rally in the SPOOs, a strengthening in the U.S. dollar and a downside correction in the precious metals. The most difficult market was the interest rate and yield curve. The immediate reaction was a sizable selloff in all interest rate tenors but by day’s end the LONG END recovered and the 2/10 was a bit flatter. Yesterday saw a correction in the SPOOS as some analysts now believe the FED will bring the projected hike in interest rates forward to a rise in the second or third quarter of 2015.