URR News and Press, Morgan Stanley ZC SP REDEEM 30/04/2020 USD 40 From 03/10/20

The European Central Bank (ECB) is expected to follow the U.S. Federal Reserve (Fed) and announce monetary easing measures on Thursday, if not before. With policy rates already at negative levels, we expect focus on targeted lending front asset purchases, and less emphasis on risk free intere...

It's become a cliché that the Japanese yen is a "safe haven currency", which does well when things are going poorly in the global economy. I've never really understood that claim. What makes Japan a safe haven? And why does the yen do well even when Japan itself is the epicenter of the pr...

Overview It appears after a few days of miscues, US officials struck the right chord, and the global capital markets seemed to stabilize shortly after the US session ended. President Trump's press conference today is expected to spell out in greater detail relief for households and businesse...

Overview Equities plunged and yields sank as the coronavirus threatens a global recession. The oil price war signaled by Saudi Arabia and Russia aggravates the desperate situation. Equity markets in the Asia-Pacific region slumped 3-7%. The Shanghai Composite was fell 3%. The Nikkei was off ...

The U.S. dollar is the world's reserve currency . Today, this means that it is the most coveted of all currencies per global central bank reserves (see chart below). While major financial institutions and investors naturally favor USD given that it is highly liquid, many important and popular...

The epicenter of the tremendous financial earthquake in 2008 and 2009 was in the US. There are many critics of the actions of the US (government and central bank), but it responded relatively early and relatively aggressively. The net result was FIFO as in first in, first out. It was that ...

Coronavirus fears continue to drive investors It's been a truly chaotic couple of weeks in financial markets, with the number of coronavirus cases and fatalities accelerating outside of China, prompting authorities around the world to up their game. This week, it was the Fed that set the t...

The euro, also known as the common currency, remains overvalued in this author's opinion. The currency has spiked recently against almost all major currencies, including the U.S. dollar. This surprise behavior has occurred in light of significant risk-off moves in global markets. The chart b...

The EU and euro face a sudden deterioration in economic conditions due to the coronavirus, which seems certain to widen the differences between Germany and the spendthrift Mediterranean members. But a more immediate problem is the increasing likelihood that the ECB will lose control over finan...

Overview The sharp sell-off in US equities and yields yesterday is spurring a mini-meltdown globally today. Many of the Asia-Pacific markets, including Japan, Australia, Taiwan, and India, saw more than 2% drops, while most others fell more than 1%. The MSCI Asia Pacific Index snapped the fo...