The IMF is still too optimistic about global growth — and that’s bad news for investors
The International Monetary Fund’s scaled-back global growth forecasts remain overly optimistic. A rapid economic slowdown is set to lower world growth, possibly to a 3% pace by the end next year. In January, the IMF projected world growth of 3.9% in 2018 and 2019. The world economy, the IMF wrote, was experiencing “the broadest synchronized global growth upsurge since 2010.” Managing director Christine Lagarde proclaimed that “all signs point to a continuous strengthening” of the global economy. The IMF’s outgoing chief economist, Maurice Obstfeld, now concedes those forecasts were “over-optimistic.” But the message still is that modestly scaled-down but steady growth will continue at 3.7% this year and the next. Read More @ https://www.marketwatch.com/story/the-imf-is-still-too-optimistic-about-global-growth-and-thats-bad-news-for-investors-2018-10-15?siteid=rss&rss=1
Yellen Says Trump’s Criticism of Fed Policy Is Damaging and Unwise
Janet Yellen cautioned that Donald Trump’s criticism of Federal Reserve policy threatens the institution she ran for four years, adding that it’s “not a desirable thing for a president to comment so explicitly on Fed policy.” “To politicize it and to undermine that is something that is essentially damaging to the Fed and to financial stability,” Yellen, who stepped down as Fed chair early this year, said Monday in Washington. “Obviously, presidents can speak out if they choose to and give their opinions about policy. There’s no law against that, but I don’t think it’s wise.” Read More @ https://www.bloombergquint.com/global-economics/yellen-says-trump-criticism-of-fed-policy-is-damaging-and-unwise#gs.IKMLRcs
US budget deficit expands to $779 billion in fiscal 2018 as spending surges
- The federal budget deficit rose 17 percent in fiscal 2018, according to the Trump administration.
- Spending jumped, and revenue only increased slightly following the GOP tax cuts.
- The Trump administration has pushed for dramatic budget cuts at several agencies and supported massive increases in military spending. Read More @ https://www.cnbc.com/2018/10/15/us-budget-deficit-expands-to-779-billion-in-fiscal-2018-as-spending-surges.html
WHAT IS THE USD SAYING TODAY?
We are going for a SELL on USD moving forward as the chart technical patterns is hungry for the south movement. As much we want to SELL immediately – we wait for the price to break 94.50 first.
TODAYS NEWS THAT MIGHT AFFECT YOUR TECHNICAL TRADES.
- 4.30pm – UK will release their CPI data and we are expecting to be good or no change. Expect volatility – we only trade after the news and not before.
- 5.00pm – EUR will release their critical CPI data and we are expecting no change; we maintain BUY for EURO this week unless there is a fundamental change – like Italy issue.
- 8.30pm – Canada will release their Manufacturing Sales and is expected to be good. We are cautious over CAD trades for now as President is still adamant over Trade War.
- 10.30pm – Oil inventory – we are expecting the inventory to be higher; we SELL oil.
Do remember that the market is still volatile and there will be FOMC early tomorrow morning and you can expect massive volatility – ensure you are always aware of money management.
High Risk Investment Warning:
Please note that Forex and other leveraged trading involves significant risk of loss, It is not suitable for all traders and you should make sure you understand the risks involved, it is recommended that you seek an independent advice, if necessary.