"But as far as Brexit is concerned, if the global financial system were healthy, I don’t think Brexit would be that big a deal. I mean, does it really matter whether the U.K. is part of the EU in the scheme of things? Think of all the countries that are not part of the EU; [...]
"In order for the job market to hit bottom and then stabilize, the U.S. Federal Reserve estimated it would take oil prices holding steady at $50 US a barrel for two or three months. In Canada, it's expected that it will take more time than that for hiring to start." Source: cbc.ca
"Oil prices jumped 3 percent or more on Tuesday with investors buying back into the market after a two-day rout triggered by Britain's vote to leave the European Union. Potential oil supply outages and crude inventory drawdowns also returned investors' attention to market fundamentals." Source: reuters.com
"The Fed's willingness to begin pulling back on crisis era policy was already in doubt. "Now, Janet Yellen can blame her failure to raise rates on Brexit," said Peter Schiff, CEO of Euro Pacific Capital on CNBC's "Trading Nation" this week. "She could even use this as an excuse to cut rates back to zero [...]
"The successful Brexit vote, and the uncertainty and volatility it has introduced into the global markets, will provide the Federal Reserve with all the cover it could possibly want to hold off on rate increases in the United States without having to make the painful admission that domestic economic weakness remains the primary reason that [...]
"Oil prices settled 5 percent lower on Friday after Britain's vote to leave the European Union spurred massive risk aversion and a rally in safe havens like the U.S. dollar that threatened to cut short a three-month-long recovery in global oil markets." Source: cnbc.com
"US policymakers should allow inflation to rise above official targets, the International Monetary Fund has recommended, as it warned that the risks of deflation still loom over the world’s largest economy." IMF advised the Fed to create more inflation to keep the economy running. It is as though the IMF and the Fed is now [...]
"Over the past few months, we've gained even more confidence that tightening global oil supply/demand dynamics will support a much higher level of oil prices in 2017," the Raymond James & Associates says. "We continue to believe that 2017 WTI oil prices will average about $30/barrel higher than current futures strip prices would indicate." Raymond [...]
"Wall Street is just trying to blame the carnage in the stock market on oil prices. But that’s not really why stocks are going down. The reality is oil prices and stocks are both going down for the same reason, and it’s because the Federal Reserve is threatening to raise interest rates and the dollar [...]
"Analysts are growing even more bearish about the oil price, predicting that crude is set to stay below $60 a barrel through next year as the market struggles to recover from a supply glut." Source: wsj.com