Industry News

Options and etfs holdings were leaked to enlighten gold can't think up is difficult  [2017/4/13]

Options trading in gold and gold ETF fund flows is shows that the surge in gold there will be more space. On Tuesday (April 11) gold prices for more options. Tuesday's most active options trading amount equivalent to 10 times the number of deals on Monday, price fluctuation in the gold options also reached the highest level in more than three months, gold ETF is beginning to attract capital.

Instability, gold can't think up all difficult.

Chicago futures brokers RJO senior commodity strategist PhilStreible said, now the relationship between the United States and Russia deteriorated quickly, plus the unrest in Syria and north Korea and other places, gold does not rise is difficult.

World of turmoil caused panic index (VIX) soared up 7%, the highest level since the election. Showed signs include drop in risk appetite, the Chicago board options exchange's volatility index rose for the third straight day. At the same time, the boom in gold, silver, yen currency extended gains against all the G10 rivals, Treasury yields and stocks fell.

On Wednesday (April 12) for delivery in June () the COMEX gold futures on the New York mercantile exchange rose to $1279.4 an ounce, had already break through 1275.90 to its highest level since November.

See more number of options contracts soared.

In addition, for $1300 to buy the number of futures options contracts may be traded in yesterday has quadrupled, became the most active contract, contract number reached 4000. Tuesday trading up to seven kinds of options contracts are bullish on gold, and prices at least 76%.

Gold futures have risen 11% this year, and for the first time since November 200 - day moving average on the site, the future of gold to rise will have a bigger space.

On Monday, investors put $71.4 million into SPDR gold ETF, this is the first time the fund in a week in net inflows. Other markets in the world similar gold ETF has also emerged a large number of capital inflows.

Surprised! Closed at the end of the U.S. government is expected to have inevitable, trump the new yellow again?  [2017/4/13]

Because of the U.S. congress has failed to pass a budget appropriations bill, investors are increasingly worried about the us government at the end of this month after three and a half years lockout nightmare come true again. Already, the paper discusses the causes and effects of government shutdown instructions (portal: the U.S. government close deadline looms again? Taking history as a mirror to count all possible prospects). But due to some surprises to rock the boat, the prospect of this incident may be more than the industry organization after speculation more pessimistic.

Though, now from the United States on April 29, 0 p.m. local time this node deadline there for 17 days, in theory American congress members still have plenty of time to solve this difficult problem, but in fact, due to the important holiday in the United States the Easter is coming, members of congress began on Friday will be on leave for ten days, until April 25 "to return to work", therefore, to the United States congress, President and trump's time, really is running out.

Under such conditions, if congress can't budget before on holiday this week premise to reach a consensus, so the false reconvenes, leave you to continue our discussions on time will be only four days, otherwise, the federal government will be announced in April 29 because there was no money available to shut down. Given time is limited for congressional negotiations, industry organizations have raised again this week on the future of the U.S. government shuts down expectations.

Donkey like parties, again, the government lockout nightmare come true.

Once the government shut down, for the opposition Democrats apparently is "happy", because in the republican control at the same time under the condition of the White House and congress if the government can crash into a deadlock, this situation is unheard of in history, the image of this for the republicans and the power of his administration would be catastrophic, already low poll Numbers by President trump, it will become the biggest victim of this event, once the government shutdown, his financial reform plan is also set to drag on indefinitely.

Just, on April 28, the fiscal appropriations bill is due on the same day, also is the trump to the White House in 100 days of the day, if use a shutdown tribute to "honor", this event will undoubtedly is one of the biggest humiliation. But getting on any big and small issues can always quarreling MPS in four days time can finalise this bears on the major issues of the national economy and people's livelihood of the fiscal appropriation, talk easy?

So the question comes, since as stated earlier, the republicans won the White House and the senate and house in last year's general election after the comprehensive control, why just a budget appropriations bill can also so difficult?

Here's why: first of all, the republican party is not monolithic either, so can't count on all the members are to keep the same voice. And last year as a trump began underachieving "system" candidates win the republican primary way and finally in the White House, the process itself to deepen the republican degree of division. From previous proposal to replace the "obamacare" trump's new health care bill in the house because of the extreme conservatives in his own party's collective boycott and ran aground, you can see, the trump to face his own party "rebellion", also can only helpless...

While more troubling is that even if the republicans abandon their differences and take advantage of the number of the appropriations bills in the house, it still need 60 votes in the senate to pass immediately, otherwise it may encounter "procedural delays". After through the new justice of Mr Saatchi republicans to force a showdown vote method when it comes to the real gold and silver on fiscal issues do not apply. On this condition, in the original time has not much, to see the republican spectacle, there will be a democratic senator, through published before the vote could last more than ten hours or longer, and the content of rambling "lengthy speech" to run out of time, then shut down the government really will be unavoidable.

Senate democratic leader Charles schumer (ChuckSchumer) has said it will not support any included building a trump advocate "border wall", or cancel the reproductive health grants financial plan. This means that if the trump refused to back down on these key issues, shut down the government may have been unavoidable.

Bipartisan senate heterogeneous, it was hard to be settled?

And once the government lockout, has just gained a full one hundred days of trump will face unprecedented pressure. He must make the painful choice: making tradeoffs is concessions to the Democrats, give up the plan for the border wall to make the government functioning, or hard bar to the end, just let the federal government stopped working a few days more, even if it made him the implementation of the new financial plan in the future more difficult.

Look from trump's personality, he is not in themselves as "lifeblood" of the Mexican border wall any concession on the issue. And even if I am willing to trump concessions, but the enormous differences between both parties in congress many lawmakers also not reconcile. If the two sides bruising, midnight on April 28 after running out of time, the United States will fall "fiscal cliff" declared the government shut down.

At present, the house republican far-right freedom party "refused to provide any allowance for assisted reproduction project funds, collective and if the party not in favor of voting, the party will not be able to fill the half of the votes required by bill. And in turn, the senate Democrats and refused to any bill not including auxiliary reproductive subsidies to open the green light. So, this seemingly small outlay, because involve the differences of core values, is bound of the huge government budget allocations.

The problem is more than that. There are, for example, the senate republican hawks bosses, a former presidential candidate John McCain is threatened, if the new budget without a sharp increase in military spending, is refusing to make its vote, but many Democrats are fiercely opposed to expand the military...

So so irrational political dispute, perhaps it is difficult to use thinking to interpret the rational economic man, this is why the United States government at the end of the probability of the lockout may be much higher than last week, Wall Street investment Banks have given 30-40% of the prediction level. Since investors panic selling U.S. Treasury bills due at the end of April to early may this situation, and also it can be seen that investors in fact lockout prospect to the government has been very fear.

Just, after 2013 years the long after the farce, the market for another government shutdown may have done more mentally prepared. Given that the fed will not with the federal government the lockout, you'd better look forward to, in the crash is likely to fall in the government which May 2-3, that meeting, the fed's decision will be outraged about what the current U.S. political turmoil or helpless said.