Articles

Globally, the financial sectors in general (and the banking sectors in particular) are operating at levels far below the highs we saw in 2007 before the GFC.

As I write this article (on Tuesday afternoon, March 20th), I am struck by the lack of attention paid to Europe by the financial media over the past week.

Markets have surprised to the upside and could continue higher but short term risk is increasing.

With all the focus on European debt and a possible default by the Greek government, we haven’t heard too much lately about the Australian Dollar, which has been slowly but surely creeping back up towards a retest of the All-Time-High $US1.10 level, as shown in Chart 1 below:

Australia’s Macquarie Bank copped a credit rating downgrade this week, following recent downgrades of three of the big four banks from ‘AA’ to ‘AA-‘. What does all this mean to traders?