Quarterly Outlook
Fixed Income Outlook: Bonds Hit Reset. A New Equilibrium Emerges
Althea Spinozzi
Head of Fixed Income Strategy
Access both platforms from your single Saxo account.
NY Open: Tesla losing its charge
Michael O’Neill
FX Trader, Loonieviews.net
Summary: Tesla’s battery may not be dead, but the 12.18% drop in its share price since yesterday’s $307.52 close screams that the firm needs a re-charge. USDCAD, meanwhile, is trading independently of sour Nafta talks.
Tesla’s (TSLA:xnas) battery may not be dead, but the 12.18% drop in its share price since yesterday’s $307.52 close screams that the firm needs a re-charge. Tesla’s woes started on September 27 when the Securities and Exchange Commission announced that CEO and Chairman Elon Musk was being charged with securities fraud.
The SEC alleges that on August 7, Mr Musk tweeted to his 22 million followers that he was taking Tesla private at $420.00/share and that funding had been secured.
It had not, which is why they levelled charges.
At the time of the Tweet, Tesla short sellers were getting a lot of press. They collectively lost about $1.3 billion after Musk’s tweet, according to a CNBC article. Today, CNBC reported that Elon Musk backed out of a settlement deal with the SEC because Musk claimed: “he would be failing to be true to himself.”
Canadian dollar traders appear to be thumbing their noses at President Trump and the state of the Nafta renegotiations which are acrimonious, to say the least. The Americans imposed a September 30 deadline for a revised agreement or, as President Trump threatened, Canada would get hit with 25% tariffs on cars imported into the US. That deadline is Sunday, and it appears that the odds for a deal are slim to none. The US Administrations intends to release a draft of the US/Mexico deal today.
That doesn’t mean the trade talks are over. They will continue because it is the best interests of both nations to secure a deal.
USDCAD reversed losses after President Trump’s tirade on Canada’s negotiating style and got an added boost from this morning’s better than expected Canada July GDP report. GDP rose 0.2%, overshadowing weaker than expected Industrial Product Price and Raw Material Price data (forecast 0.1%).
USDCAD is in an uptrend from February that comes into play in the 1.2900-10 area.
Latest Market Insights
Quarterly Outlook
-
-
Quarterly Outlook
Equity Outlook: Will lower rates lift all boats in equities?
Peter Garnry
Chief Investment Strategist
After a period of historically high equity index concentration driven by the 'Magnificent Seven' sto... -
Quarterly Outlook
FX Outlook: USD in limbo amid political and policy jitters
Charu Chanana
Chief Investment Strategist
As we enter the final quarter of 2024, currency markets are set for heightened turbulence due to US ... -
Quarterly Outlook
Macro Outlook: The US rate cut cycle has begun
Peter Garnry
Chief Investment Strategist
The Fed started the US rate cut cycle in Q3 and in this macro outlook we will explore how the rate c... -
Quarterly Outlook
Commodity Outlook: Gold and silver continue to shine bright
Ole Hansen
Head of Commodity Strategy
-
Quarterly Outlook
FX: Risk-on currencies to surge against havens
Charu Chanana
Chief Investment Strategist
Explore the outlook for USD, AUD, NZD, and EM carry trades as risk-on currencies are set to outperfo... -
Quarterly Outlook
Equities: Are we blowing bubbles again
Peter Garnry
Chief Investment Strategist
Explore key trends and opportunities in European equities and electrification theme as market dynami... -
Quarterly Outlook
Macro: Sandcastle economics
Peter Garnry
Chief Investment Strategist
Explore the "two-lane economy," European equities, energy commodities, and the impact of US fiscal p... -
Quarterly Outlook
Bonds: What to do until inflation stabilises
Althea Spinozzi
Head of Fixed Income Strategy
Discover strategies for managing bonds as US and European yields remain rangebound due to uncertain ... -
Quarterly Outlook
Commodities: Energy and grains in focus as metals pause
Ole Hansen
Head of Commodity Strategy
Energy and grains to shine as metals pause. Discover key trends and market drivers for commodities i...
Disclaimer
The Saxo Bank Group entities each provide execution-only service and access to Analysis permitting a person to view and/or use content available on or via the website. This content is not intended to and does not change or expand on the execution-only service. Such access and use are at all times subject to (i) The Terms of Use; (ii) Full Disclaimer; (iii) The Risk Warning; (iv) the Rules of Engagement and (v) Notices applying to Saxo News & Research and/or its content in addition (where relevant) to the terms governing the use of hyperlinks on the website of a member of the Saxo Bank Group by which access to Saxo News & Research is gained. Such content is therefore provided as no more than information. In particular no advice is intended to be provided or to be relied on as provided nor endorsed by any Saxo Bank Group entity; nor is it to be construed as solicitation or an incentive provided to subscribe for or sell or purchase any financial instrument. All trading or investments you make must be pursuant to your own unprompted and informed self-directed decision. As such no Saxo Bank Group entity will have or be liable for any losses that you may sustain as a result of any investment decision made in reliance on information which is available on Saxo News & Research or as a result of the use of the Saxo News & Research. Orders given and trades effected are deemed intended to be given or effected for the account of the customer with the Saxo Bank Group entity operating in the jurisdiction in which the customer resides and/or with whom the customer opened and maintains his/her trading account. Saxo News & Research does not contain (and should not be construed as containing) financial, investment, tax or trading advice or advice of any sort offered, recommended or endorsed by Saxo Bank Group and should not be construed as a record of our trading prices, or as an offer, incentive or solicitation for the subscription, sale or purchase in any financial instrument. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, would be considered as a marketing communication under relevant laws.
Please read our disclaimers:
- Notification on Non-Independent Investment Research (https://www.home.saxo/legal/niird/notification)
- Full disclaimer (https://www.home.saxo/en-gb/legal/disclaimer/saxo-disclaimer)