Low oil prices, weaker euro likely to lift German industrial ouput
Mar 06, 2015 11:43 am UTC| Commentary
German industrial production in January was up by 0.6% compared with the previous month (consensus: 0.5%).At the same time, data for the preceding month was revised up by nearly one percentage point to 1.0%.The good...
ECB's Draghi drives up gold price in euros
Mar 06, 2015 11:41 am UTC| Commentary
The gold price in US dollar terms is continuing to trade largely unchanged at around the $1,200 per troy ounce mark.It is thus successfully resisting the firm US currency which appreciated to an 11½-year high during...
CAD and AUD remain positively correlated
Mar 06, 2015 10:30 am UTC| Commentary
Both AUD and CAD strengthening could be a risky scenario if the AUD appreciates much more than the CAD. But the convexity analysis rather suggests that CAD deviations should be larger even if the AUD is more...
Buy USD/CAD downside – Scenario Analysis
Mar 06, 2015 10:28 am UTC| Commentary
Selling AUD/USD high strikes (calls) is the best implementation given the downside volatility risk.Societe Generale notes the following scenarios: We prefer selling AUD options than CAD options. The other leg of the...
AUD/USD vol is too expensive: Sell high strikes
Mar 06, 2015 10:23 am UTC| Commentary
Beyond the long-term picture of AUD and CAD vol, AUD/USD vol is currently getting tooexpensive. It includes an excessive volatility risk premium, unlike USD/CAD vol,which is trading at a fair level.|Societe Generale notes...
CAD deviates more than AUD, but with less volatility
Mar 06, 2015 10:21 am UTC| Commentary
Unsurprisingly, the AUD and CAD exhibit a strong correlation. Hence, trading a divergence between these currencies expresses a view on temporary adjustments rather than long-term trends. The relationship between them was...
Tactical divergence seen between AUD and CAD
Mar 06, 2015 10:17 am UTC| Commentary
The Australian and Canadian dollars fell spectacularly against the US dollar in H2 14. Bothcurrencies are highly sensitive to commodity prices and have been severely hit by the oil pricecollapse.Societe Generale notes on...
South Africa’s plan to move away from coal: 8 steps to make it succeed
Germany lowers voting age to 16 for the European elections
IceCube researchers detect a rare type of energetic neutrino sent from powerful astronomical objects