Gold: At the Crossroads of Fiscal and Monetary Policies

Gold: At the Crossroads of Fiscal and Monetary Policies By Erik Norland, Senior Economist, CME Group Highlights Gold implied volatility has languished over the past two years Growing budget deficit has weakened the dollar while supporting gold But higher interest rates have reined in any rally in gold prices Bearish forces of tigher monetary policy … Read More

How Changing Oil Market Dynamics May Play Out In Oil Prices

Oil Market Dynamics in Play: What to Watch in Coming Weeks By Blu Putnam, Chief Economist, CME Group Oil: Will Mideast Risk Premium Rise Before Driving Season? Highlights U.S. shale oil production can respond faster to price changes Ramp-up in U.S. production could be tempered by drilling challenges U.S. oil exports have changed the dynamics of Brent-WTI … Read More

Research: Fed Focus on More Unwinding, Monetary Policy

Focus on the Fed: More QE Unwinding, Monetary Policy Moves By Blu Putnam, Chief Economist & Erik Norland, Senior Economist, CME Group Fed Unwinding the Bernanke Experiments: Progress Report Highlights Fed may aim for balance sheet to be 10%-12% of GDP by 2022-2023 Likely to steer effective funds rate to be at par or slightly above core … Read More

Volatility Returns: Phase Transition in Equities

Volatility Returns: Phase Transition in Equities By Jesy Beeson, Director of Business Intelligence & Erik Norland, Senior Economist, CME Group Highlights Equity market volatility makes a comeback in early 2018 Market depth dipped but liquidity robust enough to execute trades, manage risk No long-term impact on market depth expected even from extreme volatility Open interest … Read More

How the Market Dynamics Have Changed

Oil: How the Market Dynamics Have Changed By Blu Putnam, Chief Economist, CME Group Highlights Faster pace of global growth, Mideast risk premium fuel gains in oil prices Shale oil well placed to boost output in H2 2018 and 2019 as prices head higher Various drilling challenges, however, might slow pace of production ramp-up U.S. oil exports … Read More