Yellen and other economists say tax cuts are blowing up the budget
- Former Federal Reserve Chair Janet Yellen and a team of economists argue that tax cuts are blowing a hole in the federal budget.
- The argument, made in a Washington Post op-ed, rejects a Hoover Institution study that blamed entitlements for trillion-dollar deficits forecast for the years ahead.
- Though Fed leaders including Yellen and others for years pleaded for fiscal assistance from Congress, the op-ed argues that the stimulus was ill-timed. Read More @ https://www.cnbc.com/2018/04/09/yellen-and-other-economists-say-tax-cuts-are-blowing-up-the-budget-not-entitlements.html
Euro-Area Economy’s Soft Patch Starts to Rattle Investor Nerves
Investors are losing faith in the strength of the euro-area economy after a string of numbers that fell short of expectations. A monthly report from research group Sentix said their view of the economy has turned negative for the first time since July 2016. It said the downward dynamic was “even more pronounced” for Germany, where separate data on Monday showed a sharp drop in exports in February. Read More @ https://www.bloombergquint.com/global-economics/2018/04/09/euro-area-economy-s-soft-patch-starts-to-rattle-investor-nerves
WHAT IS THE USD INDEX SAYING?
Price still back to Range Support; the USD is at tipping point and looking for a direction – if the $89.40 breaks the USD might start its fall fast. be cautious this week.
TODAYS NEWS THAT MIGHT AFFECT YOUR TRADE
- 2.00pm – Japan will release their machine tool orders and is expected to be good. We maintain BUY for JPY.
- 2.45pm – French and Italy will release their Industrial production – expected little or no volatility.
- 5.30pm – Expect some volatility for GBP pairs as Haldane speaks from UK MPC Member. Expected dovish statement.
- 8.15pm – Canada will release housing and is expected to be good – we maintain SELL for USDCAD.
- 8.30pm – US will release PPI data and is expected to be weak or neutral. Little volatility is expected – the market will continue to range and swing.
- 10.00pm – US will release Final Wholesale Inventories and is expected to be neutral – important data to watch.
The market is very fragile right now and anything can spark a market major correction.
High Risk Investment Warning:
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