World economy talk

[glenn manikis]

The target market for the IPhone 5C in China didn't find the US$ 700 for open line price tag exactly CHEAP, considering China made Android phones only cost US$ 230...

most chinese friends i know... majority of them buy only BRANDED products...

nagbebenta lang sila ng china made... pero hindi sila bumibile... especially cellphones....

[dreamur]

Bro,

Why did apple stock go down after they announced the 5S and 5C?

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[uls]

analysts think the 5C is priced too high for emerging markets (particularly China) so they downgraded AAPL

[dreamur]

You think that is good news for Samsung?

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[glenn manikis]

sir uls....

why is the peso getting stronger against the dollar?

for the past years sir why is the Chinese yuan strengthened against the U.S. dollar?

[uls]

You think that is good news for Samsung?

Sent from my GT-N7100 using Tapatalk 4

Samsung already outsells Apple so that's not really big news for Samsung

[uls]

why is the peso getting stronger against the dollar?

coz EM selloff/dollar outflow has subsided

for the past years sir why is the Chinese yuan strengthened against the U.S. dollar?

China has kept the its currency from strengthening to protect exports

but other countries criticized China for it

so China allowed the CNY to strengthen slowly

[glenn manikis]

coz EM selloff/dollar outflow has subsided



China has kept the its currency from strengthening to protect exports

but other countries criticized China for it

so China allowed the CNY to strengthen slowly

sir uls..

so we are expecting the peso to be much stronger in the next coming weeks?

what is your forecast php-USD this ber months?

[uls]

no comment muna

waiting for FOMC statement next week

[wowiesy]

no comment muna

waiting for FOMC statement next week

FOMC is next week.. then FED is end of Sept? or early Oct na?

[uls]

Fed meeting Sept 17 & 18

there's no meeting end of Sept

next meeting Oct 29 & 30

then Dec 17 & 18

Sept statement highly anticipated coz market expecting the Fed to announce reduction in bond purchases

another thing the market is looking forward to is who Obama will nominate as new Fed chairman

Obama to nominate Summers as Fed chief: Nikkei | Reuters

(Reuters) - U.S. President Barack Obama will name former Treasury Secretary Lawrence Summers as chairman of the Federal Reserve Board, Japan's Nikkei newspaper said on Friday.

The newspaper, quoting unnamed sources, said in its original Japanese version that Obama was "in the final stages" and moving toward naming Summers.

The English-language version said the president "is set to" name Summers as early as late next week.

Asked about the story, a White House spokeswoman said Obama had not made his decision about the Fed job.

[uls]

Larry Summers withdraws name for Fed chair job - Sep. 15, 2013

After months of contentious public debate, Larry Summers has withdrawn his name from consideration to become the next chairman of the Federal Reserve.

President Obama said he spoke with Summers earlier Sunday and accepted his decision.

so it's gonna be Janet Yellen

[uls]

dollar falls



Dollar slips, bonds & shares rally as Summers drops out | Reuters

(Reuters) - The U.S. dollar slid while bonds and shares rallied in Asia on Monday after Lawrence Summers dropped from the race to be head of the U.S. Federal Reserve.

Markets had perceived Summers as less wedded to aggressive policies such as quantitative easing and more likely to scale it back quicker than the more dovish Yellen, who is currently second in command at the Fed.

[uls]

GLOBAL MARKETS-Stocks, dollar dip as Fed to start meeting | Reuters

The Fed's Open Market Committee begins its two-day meeting on Tuesday, and despite a lacklustre August U.S. jobs report, it is expected to trim its monthly asset purchases by about $10 billion from $85 billion.

The dollar was lower versus a basket of currencies (NYF:^), at 81.193, after having set a four-week low of 80.968 the previous day.

[uls]

later (actually 2 am local time) the much awaited FOMC statement

market expecting the Fed to announce reduction in bond purchases

the Fed currently buys $45B of treasury bonds and $40B of mortgage bonds per month

market expecting $10B reduction in treasury bond purchases

looking beyond that the market is gonna be increasingly concerned with the USG budget and debt ceiling

from page 780 (09/01/13)

September is gonna be an interesting month

the US Congress told Obama he has to get their approval first before he can strike Syria and that's exactly what he did --- Obama asks Congress to OK strike on Syria ---- so an immediate strike on Syria has been postponed. Congress is on recess. they'll be back Sept. 9

there's the Fed decision on reduction of bond purchases

there's the August jobs report

there's the US budget (there are 2 upcoming budget fights. the first will be this month where Congress must pass legislation to continue funding the government. if there's no "continuing resolution" the US govt will shut down. the second will be next month where the US Treasury must get approval from Congress to raise the borrowing limit. if the limit isnt raised the US govt will default)

there's the nomination of the next Fed chairman

[uls]

no reduction in bond purchases

FRB: Press Release--Federal Reserve issues FOMC statement--September 18, 2013

Taking into account the extent of federal fiscal retrenchment, the Committee sees the improvement in economic activity and labor market conditions since it began its asset purchase program a year ago as consistent with growing underlying strength in the broader economy. However, the Committee decided to await more evidence that progress will be sustained before adjusting the pace of its purchases. Accordingly, the Committee decided to continue purchasing additional agency mortgage-backed securities at a pace of $40 billion per month and longer-term Treasury securities at a pace of $45 billion per month. The Committee is maintaining its existing policy of reinvesting principal payments from its holdings of agency debt and agency mortgage-backed securities in agency mortgage-backed securities and of rolling over maturing Treasury securities at auction. Taken together, these actions should maintain downward pressure on longer-term interest rates, support mortgage markets, and help to make broader financial conditions more accommodative, which in turn should promote a stronger economic recovery and help to ensure that inflation, over time, is at the rate most consistent with the Committee's dual mandate.

dollar falls

[wowiesy]

when's next fomc meeting? monthly ba yan o quarterly?

Sent from wireless device.

[uls]

why the Fed didnt reduce QE

1. they wanna see more economic data before reducing QE

2. they wanna see how rising mortgage rates (coz of rising 10 yr yield) is affecting the economy. rising mortgage rates could derail the fragile recovery in housing

3. they're concerned about the budget debates

[uls]

when's next fomc meeting? monthly ba yan o quarterly?

Sent from wireless device.

next month

then December

[uls]

US 10 yr yield