Markets Wrap: Global Oil Sinks; Stocks Set to Rising in Asia After US Gains

Markets Wrap: Global Oil Sinks; Stocks Set to Rising in Asia After US Gains

US stocks overnight posted a new fresh high on the back of stronger economic data. Non-farm payrolls increase by 916,000 in March exceeded expectation of a 647,000 increase. The unemployment rate fell from 6.2% to 6%. According to ZERO Markets’ Metatrader 4 platform, all three major equity indexes rose by 1.13% to 1.67%.  Indices futures in Japan, Australia, and China all pointing higher. While Hong Kong will remain closed.   Commodity traders were caught off guard as oil prices plunged as the looming Iranian supply weighed down hopes for a quick decline in oil inventories. The Zero Markets’ MT4 showed WTI futures plunged...

Nomura Shares Plunged 13% After $2 Billion Archegos Debacle

Nomura Shares Plunged 13% After $2 Billion Archegos Debacle

Nomura Holdings Inc. has warned of a “significant” loss from an unnamed US client just days ahead of Kentaro Okuda’s one-year anniversary as Japan’s largest brokerage. The loss is tied to the huge disposal of leveraged secretive bets by Bill Hwang’s Archegos Capital Management, according to people familiar with the matter. The warning has resulted in Nomura’s share price plunging 16% on Monday, wiping $3.5 billion from its market value. According to Jefferies Financial Group report, the $2 billion loss incurred by one single client mostly erasing the company’s second-half year’s pretax profits, ending 31st of March. This blow has no...

How to Reduce the Risk of Trading Risk of Shares? (Part 1)

How to Reduce the Risk of Trading Risk of Shares? (Part 1)

What are Shares? Share trading remains one of the most popular asset classes among retail investors and traders. Shares are also known as stocks or equities, they represent partial ownership of a company. Often, dividends may be paid out on a half-year basis to shareholders based on the proportion of the company they own. Moreover, there have been financial derivatives products created, which derive prices from the movement of the underlying stock price. Share CFDs is an example of share derivative products, with effective low trading costs. Unlike common stocks, CFDs do not grant shareholders the right to vote in a...

What Is Reflation and Are We in One Now?

What Is Reflation and Are We in One Now?

Reflation is the early phase of an economic upswing, characterized by an increase in economic growth and a pick up in inflation. With global rates near zero, and a record stimulus package, this set the perfect environment for a new economic life cycle. The most recent US job data was stronger than expected, with 379,000 jobs created in February compared to the survey expectation of 182,000. Recovery in the job market signals for a potential rise in wages, which will translate to higher goods and services prices, known as inflation. As inflation picks up to a certain set level, the...