Yesterday afternoon Lebanon’s PM since 2016 (and before that from 2009 to 2011), son of former PM Rafic Hariri who was assassinated in 2005, stepped down saying the situation in his country had reached a ‘’dead end’’. This follows nearly a fortnight of what had originally been mainly peaceful demonstrations across the country, dubbed ‘the revolution of the millennials’ by veteran economist Roy Badaro. Originally started because the government wanted to impose a tax on WhatsApp phone calls, it evolved into protests over entrenched corruption and economic mismanagement. Banks have been closed for 10 days as run is feared.
Data published yesterday by the UK’s Office for National Statistics showed the gender pay gap had shrunk a little and the proportion on the very lowest wages had also fallen. An increase in the national living wage for those over 25 years old saw the number of people earning two thirds or less than the nationwide mean dropping to 16.2 per cent. The sad news is that even if wages have risen this year, weekly earnings remain 2.9 per cent lower than at 2008’s peak. Coincidentally, City AM reports that London City Airport announced a new pay scheme for its staff using an app called Hastee. This allows them to draw their salaries earlier than the usual pay-day, a finance benefit which management believes will reduce stress and improve the workforce’s mental health.
DAX 30
Overbought on a daily basis and just sort of hanging under the psychological 13000 level. Note that today Deutsche Bank reported a €832 million Q3 loss blaming restructuring. Fixed income trading revenue fell 13 per cent and the investment bank’s pre-tax profit collapsed 73 per cent.
SHORT TERM TRADER: Square.
POSITION TAKER: Square.
FTSE 100
A small hanging man yesterday as the commodity channel index is trying to turn down. Now Britain faces a general election on the first day of Christmas, December 12th, and tactical voting will be essential; doubt the pollsters stand a chance.
SHORT TERM TRADER: Square.
POSITION TAKER: Square.
S&P 500
A tiny doji candle yesterday at a new record high and a commodity channel index flashing a warning are tiny signs of instability at current levels. Yesterday the family of the British teenager killed by the wife of a US diplomat near Northampton says they will sue President Trump’s administration for ‘lawless misconduct’ and a cover-up.
SHORT TERM TRADER: Square.
POSITION TAKER: Square.
BRITISH POUND/US DOLLAR
Cable’s still holding at the higher end of this month’s range. Amazing how public opinion can concentrate minds in Westminster: Boris Johnson’s election plan was approved by 438 votes to 20 against – and 200 Labour MPs abstaining.
SHORT TERM TRADER: Long at 1.2950; stop below 1.2760. Target 1.3150.
POSITION TAKER: Long at 1.2950; stop below 1.2600. Target 1.3350.
EURO/US DOLLAR
Momentum a little more bullish on yesterday’s hammer candle against Fibonacci 38 per cent retracement support.
SHORT TERM TRADER: Small long at 1.1150; stop below 1.1050. First target 1.1250.
POSITION TAKER: Square.
GOLD
Pointless market - for now.
SHORT TERM TRADER: Short at 1520; stop above 1535. Target 1440.
POSITION TAKER: Short at 1507; stop above 1560. Target 1440.
