Based on a careful analysis, experts figured out the most common mistakes made by newcomers to the cryptocurrency market. Read on to discover some typical mistakes, and find out how to avoid them.
Analyzing the current situation in the cryptocurrency environment, experts noted a number of frequent problems that face newcomers. They highlighted seven common mistakes.
Misunderstanding of what is happening and lack of adequate informationExperts say a thorough analysis of the situation is crucial. They recommend that you do not to rush either into buying or selling digital assets without proper market research. According to analysts, it is necessary to gather as much information as possible and take a close look at the heart of the matter.
Expecting mega profitsAccording to experts, you should not expect big profits at first, even having invested a solid amount in cryptocurrencies. Success will not come immediately, especially in digital currency mining, where all profits can go to pay for high electricity bills.
Impatience is your enemyMany major investors stick to this position so this recommendation should be listened to. It is difficult for newcomers to the crypto market to avoid the temptation to start making profits here and now, not having calculated all the risks. However, patience will sooner or later be rewarded, experts believe.
Selling at a peak priceIt is sometimes difficult for novice traders to predict how much a digital asset will grow or fall in price. As a result, they often sell it at the peak price. Experienced crypto investors recommend that you postpone your trading decision, waiting for even greater price increases.
Losing your private keysThis may be the largest mistake in the crypto community to date because no support service will be able to restore your private keys. Write down all the codes and passwords on a paper sheet, or print and store in a safe place. Do not trust such important information with Word documents and do not leave them on the desktop.
Sending to the wrong crypto wallet in an exchangeThis is a technical mistake that a lot of people do pretty often. Most traders do not check whether the exchange wallet they are sending funds to matches the token they are sending. When sending, you should also check which standard is supported by a particular wallet.
Lack of support and fear of failureExperts recommend that newcomers find a crypto community. This will help to keep track of the relevant information. If necessary, you can also consult with more experienced participants. This will also encourage you and help you to get rid of the fear of failure.
A few days ago, the US dollar developed a steady rally. The greenback received a boost from the minutes of the US Fed’s policy meeting. The contents lacked definite details. The big question hanging over investors is whether the Fed is going to raise rates three or four times in 2018. Though the policymakers did not shed light on their agenda, the market drew some conclusions.
Following the release of the minutes, the US dollar advanced across the board and yields of 10-year Treasuries hit a fresh four-year high. Amid the greenback’s rally, traders were cementing expectations for several rate hikes. Meanwhile, traders are betting on 2.82 rate hikes this year. The Fed officials agree that it would be wise to take an approach of gradual monetary tightening. Besides, they confirm that changes in monetary policy will depend on how further prospects and risks for the economy will differ from economic projections of the Federal Open Market Committee. However, the joy of investors was short-lived. The US dollar sank, following yields of the benchmark Treasuries because traders are alert to a testimony of the new Fed’s leader.
Meanwhile, the market has come to a standstill as Jerome Powell is to testify for the first time before Congress as the new Fed’s Chair. It is still unclear what exactly the Fed’s leader is going to tell the lawmakers on Capitol Hill. Investors will be looking for clues as to how many times the US regulator intends to increase rates this year. One thing is certain. His speech is sure to determine the market sentiment on the US dollar for the short term.
Ingvar Kamprad made almost impossible: he founded the global empire of style and comfort and transformed an ordinary shopping into a pleasant journey. Every second European has bought goods in this store and was given free pencils and paper measuring tapes. The key principles pioneered by IKEA were welcomed by customers worldwide. Take a look at 10 innovations from the Swedish furniture retailer that changed the world in our article.
1. IKEA is a one-stop store for a family day outThe customers who would like to veer off the IKEA-approved route at stores often cannot find the exit. Of course, it is impossible to get lost, but it is quite possible to spend all day there. Few retailers can boast of that.Cozy cafes, where you can have a snack after shopping, game rooms for children are there to ensure that customers are in no hurry to leave.
2. IKEA offers reusable bags or large trolleysIKEA makes it clear that it cares about the environment. At the same time, providing customers with big reusable bags and trolleys, it ensures they comfortably walk around the store and buy everything they want.Empty bags and trolleys create a void that needs to be filled.Placing logo on bags is a delicate maneuver used today by all retailers.
3. IKEA customers are treated like old friendsIKEA has been named one of Fortune's top 20 best workplaces. And it is not surprising. Since IKEA provides benefits and opportunities for advancement, it is a pleasure to work in the company. Happy staff is known to be helpful staff. Customers note that IKEA's staff is friendly and welcoming.
4. IKEA gives you a place to sit and relaxIKEA provides a winding path through the store punctuated with relaxing spaces for weary shoppers to rest their feet.If you are tired of searching for furniture and household goods, there are relaxing spaces to rest your feet. IKEA is also famous for its in-store restaurants, where they offer you delicious meatballs after shopping.
Retailers often use the compromise price effect. Two similar items are placed next to each other — one at a regular price, another at a slightly lower price. Customers will most likely opt for the second one being sure they got a good deal.
6. IKEA's prices end in 9When a price ends in the number 9, it is considered 'charm pricing.' In a study by Colorado State University and Washington State University, researchers asked participants to choose between two identical pens: one at $2.00 and the other $3.99. Amazingly, 44% of the participants chose the higher-priced pen.
7. IKEA offers to solve your problemsIKEA positions itself not just a furniture store, it is also a friend that will help solve all your problems.Every year more than 780 million people come to IKEA stores, which is equal to the population of a large country. IKEA treats its customers with care and attention, respecting their budgets.You can create a cozy corner at home or decorate your office paying not so large amount.
8. They offer cheap items and a huge number of accessoriesBuyers often leave stores with low-priced candles and plastic pallets. There is a huge array of containers for storing clothes, shoes, things and toys. It is impossible to choose one thing.They are designed to break a psychological barrier and get consumers shopping so that starting once it will be difficult to stop. Ingvar Kamprad made it so there will always be just one more thing that you do not mind spending money on.
9. Ingvar Kamprad turned search for a bargain into a treasure huntPeople feel like they are on a treasure hunt and finding a bargain that someone else missed as all furniture sold by IKEA is inexpensive. Music is played so that to keep people either moving fast through the store or to slow them down if they need to have a closer look. Moreover, there are no shelves at the checkout, leaving no chance to get rid of unwanted items.
10. IKEA prioritizes efficiencyBuyers are ready to assemble furniture by themselves for its low price, given that it is not that difficult. Kamprad sought to boost efficiency in everything. Thus, he pioneered flat-pack, ready-to-assemble furniture in 1953.The furniture can be upgraded with the least financial costs. Having bought one chair, but two cases, differing in colors, you will get two different chairs.
The Russians have a new reason for joy, as Russia firmly holds the title of the energy market leader. According to the BP forecasts, Russia will lead the gas market at least until 2040.
In its latest energy outlook, BP predicted that Russia will remain the world's largest exporter of primary energy resources until 2040. Recent worries that the US will be able to catch up with Russia in terms of oil production turned out to be unfounded. Even if this happens, then by 2040 the share of annual US exports will still be relatively small in comparison to the global volumes. BP forecasts that by this time the US export of oil and gas will reach 360 million tons, which is less than half of the expected volume of exports from Russia in 2040 - 780 million tons. According to the BP forecast, by 2040 Europe will increase gas imports, as a result, the region may become even more dependent on energy resources supplied from Russia. The share of Europe’s total gas consumption met by the Russian exports will increase from around a third currently to almost a half by 2040.
The outlooks of BP and the Russian officials on this issue fully coincide. In early February, Deputy Chairman of the Gazprom Management Committee Alexander Medvedev announced that Russia could increase its share of Europe’s total gas consumption to 40 percent in 2019. However, the EU needs to prepare for the expected deficit and growing prices.
South Korea which hosted the winter Olympics has been in the international spotlight. This is a country where technological advancements harmoniously coexist with antiquity.
We check out strikingly beautiful destinations throughout South Korea, where you can see palaces and Buddhist temples and breathtaking natural beauty.
Donggung Palace and Wolji Pond in GyeongjuThe palace complex built in the late 7th century is surrounded by a picturesque artificial lake, fully covered with lotus flowers in the summer.
Cheongsando IslandCheongsando Island is famed for its untouched beauty with its terraced rice fields, yellow oilseed rape fields and spectacular views of the ocean
Dongdaemun Design Plaza, SeoulThe Dongdaemun Design Plaza is a 38000-square-metre cultural complex designed by Zaha Hadid. It serves as a key venue for design-related shows and conferences, exhibitions, library and the center of fine arts.
Sankwang Temple, BusanThe Sankwang Temple hosts the annual Lotus Lantern Festival devoted to Buddha's birthday. It attracts more than million visitors. During the festivities, the temple is decorated with thousands of lanterns that light up the night sky.
Boseong green tea fieldThe green tea plantation farm in Boseong is a world famous location. Enormous field full of green tea leaves attracts photographers and cinematographers, as well as tea connoisseurs.
Jinhae-guJinhae-gu is a district in Changwon City. This region is famous for its annual cherry blossom festival. Thousands of tourists come to this coastal town to admire its flowering trees.
Ulleungdo IslandThe sole island-city of Ulleungdo impresses with its stunning scenery and picturesque cliffs hanging over its coast.
Jirisan National ParkThe year 2017 was the 50th anniversary of the designation of Jirisan as the first-ever national park in Korea. In addition to beautiful mountains, valleys and temple complexes, it became the habitat of Asian black bears.
Juwangsan National ParkThis national park is known for its sheer rocky cliffs of Juwangsan mountains, high waterfalls, and a scenic pond.
Jogyesa Temple, SeoulThe 620-year-old Buddhist temple is one of the most photographed and recognizable places in Seoul. The temple features streams of beautiful multicolored lanterns on the ceiling and window shutters carved into the shape of trees.
Haedong Yonggung Temple, BusanThe Haedong Yonggunsa Temple is a rare find of a temple along the shore line, north west of Busan.
Cheonjiyeon WaterfallCheonjiyeon is a waterfall on Jeju Island surrounded by hiking trails, lemon trees and a pond with tropical eels.
Homigot Sunrise Square, PohangHomigot is one of the most famous places in Pohang. There is a place called Homigot Sunrise Square where people gather every year to watch the sunrise. Hand of Harmony is a two-part sculpture with the left hand on land and the right hand in the ocean, well-known all over the world.
Nagan Eupseong Folk VillageNagan Eupseong Folk Village is a village preserved as it was 600 years ago. Visitors can stay in bungalows, watch traditional dance performances and take lessons in traditional Korean tea ceremony etiquette.
Gyeongbokgung Palace, SeoulBuilt in the 14th century, Gyeongbokgung Palace is remarkable for its impressive size and is considered the most beautiful palace out of Seoul's five palaces by the majority of local residents.
South Korea which hosted the winter Olympics has been in the international spotlight. This is a country where technological advancements harmoniously coexist with antiquity.
We check out strikingly beautiful destinations throughout South Korea, where you can see palaces and Buddhist temples and breathtaking natural beauty.
Donggung Palace and Wolji Pond in GyeongjuThe palace complex built in the late 7th century is surrounded by a picturesque artificial lake, fully covered with lotus flowers in the summer.
Cheongsando IslandCheongsando Island is famed for its untouched beauty with its terraced rice fields, yellow oilseed rape fields and spectacular views of the ocean
Dongdaemun Design Plaza, SeoulThe Dongdaemun Design Plaza is a 38000-square-metre cultural complex designed by Zaha Hadid. It serves as a key venue for design-related shows and conferences, exhibitions, library and the center of fine arts.
Sankwang Temple, BusanThe Sankwang Temple hosts the annual Lotus Lantern Festival devoted to Buddha's birthday. It attracts more than million visitors. During the festivities, the temple is decorated with thousands of lanterns that light up the night sky.
Boseong green tea fieldThe green tea plantation farm in Boseong is a world famous location. Enormous field full of green tea leaves attracts photographers and cinematographers, as well as tea connoisseurs.
Jinhae-guJinhae-gu is a district in Changwon City. This region is famous for its annual cherry blossom festival. Thousands of tourists come to this coastal town to admire its flowering trees.
Ulleungdo IslandThe sole island-city of Ulleungdo impresses with its stunning scenery and picturesque cliffs hanging over its coast.
Jirisan National ParkThe year 2017 was the 50th anniversary of the designation of Jirisan as the first-ever national park in Korea. In addition to beautiful mountains, valleys and temple complexes, it became the habitat of Asian black bears.
Juwangsan National ParkThis national park is known for its sheer rocky cliffs of Juwangsan mountains, high waterfalls, and a scenic pond.
Jogyesa Temple, SeoulThe 620-year-old Buddhist temple is one of the most photographed and recognizable places in Seoul. The temple features streams of beautiful multicolored lanterns on the ceiling and window shutters carved into the shape of trees.
Haedong Yonggung Temple, BusanThe Haedong Yonggunsa Temple is a rare find of a temple along the shore line, north west of Busan.
Cheonjiyeon WaterfallCheonjiyeon is a waterfall on Jeju Island surrounded by hiking trails, lemon trees and a pond with tropical eels.
Homigot Sunrise Square, PohangHomigot is one of the most famous places in Pohang. There is a place called Homigot Sunrise Square where people gather every year to watch the sunrise. Hand of Harmony is a two-part sculpture with the left hand on land and the right hand in the ocean, well-known all over the world.
Nagan Eupseong Folk VillageNagan Eupseong Folk Village is a village preserved as it was 600 years ago. Visitors can stay in bungalows, watch traditional dance performances and take lessons in traditional Korean tea ceremony etiquette.
Gyeongbokgung Palace, SeoulBuilt in the 14th century, Gyeongbokgung Palace is remarkable for its impressive size and is considered the most beautiful palace out of Seoul's five palaces by the majority of local residents.
South Korea which hosted the winter Olympics has been in the international spotlight. This is a country where technological advancements harmoniously coexist with antiquity.
We check out strikingly beautiful destinations throughout South Korea, where you can see palaces and Buddhist temples and breathtaking natural beauty.
Donggung Palace and Wolji Pond in GyeongjuThe palace complex built in the late 7th century is surrounded by a picturesque artificial lake, fully covered with lotus flowers in the summer.
Cheongsando IslandCheongsando Island is famed for its untouched beauty with its terraced rice fields, yellow oilseed rape fields and spectacular views of the ocean
Dongdaemun Design Plaza, SeoulThe Dongdaemun Design Plaza is a 38000-square-metre cultural complex designed by Zaha Hadid. It serves as a key venue for design-related shows and conferences, exhibitions, library and the center of fine arts.
Sankwang Temple, BusanThe Sankwang Temple hosts the annual Lotus Lantern Festival devoted to Buddha's birthday. It attracts more than million visitors. During the festivities, the temple is decorated with thousands of lanterns that light up the night sky.
Boseong green tea fieldThe green tea plantation farm in Boseong is a world famous location. Enormous field full of green tea leaves attracts photographers and cinematographers, as well as tea connoisseurs.
Jinhae-guJinhae-gu is a district in Changwon City. This region is famous for its annual cherry blossom festival. Thousands of tourists come to this coastal town to admire its flowering trees.
Ulleungdo IslandThe sole island-city of Ulleungdo impresses with its stunning scenery and picturesque cliffs hanging over its coast.
Jirisan National ParkThe year 2017 was the 50th anniversary of the designation of Jirisan as the first-ever national park in Korea. In addition to beautiful mountains, valleys and temple complexes, it became the habitat of Asian black bears.
Juwangsan National ParkThis national park is known for its sheer rocky cliffs of Juwangsan mountains, high waterfalls, and a scenic pond.
Jogyesa Temple, SeoulThe 620-year-old Buddhist temple is one of the most photographed and recognizable places in Seoul. The temple features streams of beautiful multicolored lanterns on the ceiling and window shutters carved into the shape of trees.
Haedong Yonggung Temple, BusanThe Haedong Yonggunsa Temple is a rare find of a temple along the shore line, north west of Busan.
Cheonjiyeon WaterfallCheonjiyeon is a waterfall on Jeju Island surrounded by hiking trails, lemon trees and a pond with tropical eels.
Homigot Sunrise Square, PohangHomigot is one of the most famous places in Pohang. There is a place called Homigot Sunrise Square where people gather every year to watch the sunrise. Hand of Harmony is a two-part sculpture with the left hand on land and the right hand in the ocean, well-known all over the world.
Nagan Eupseong Folk VillageNagan Eupseong Folk Village is a village preserved as it was 600 years ago. Visitors can stay in bungalows, watch traditional dance performances and take lessons in traditional Korean tea ceremony etiquette.
Gyeongbokgung Palace, SeoulBuilt in the 14th century, Gyeongbokgung Palace is remarkable for its impressive size and is considered the most beautiful palace out of Seoul's five palaces by the majority of local residents.
Понедельник, 26 Февраля 2018 г. 05:28
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While some were terrified to watch bitcoin dipping, others were massively buying into BTC.
All the crypto transactions are in full view thanks to the blockchain technology, so anyone can access data and statistics. When bitcoin was at its lowest levels, from 9 to 12 February, an unknown trader invested in the cryptocurrency as much as $400 million in total. So, his BTC pool increased from 55,000 to 96,000 coins, most of which were bought at the price of $6,000. Taking into account bitcoin current cost, we may well celebrate another millionaire. As head of 360 Blockchain Inc thinks, this investment has very likely been made by a Wall Street tycoon. An abrupt fall from $21,000 below $6,000 came as a shock particularly to those who had put some money into BTC.
Still, experienced traders are hardly concerned over the BTC plunge. FundStrat Global Advisor co-founder Tom Lee is sure there are new highs due for the cryptocurrency this year. Having analyzed over 2 dozens of BTC declines, he came to a conclusion that this cryptocurrency takes about 1.7 times the duration of its fall to recover.
Понедельник, 26 Февраля 2018 г. 05:28
+ в цитатник
While some were terrified to watch bitcoin dipping, others were massively buying into BTC.
All the crypto transactions are in full view thanks to the blockchain technology, so anyone can access data and statistics. When bitcoin was at its lowest levels, from 9 to 12 February, an unknown trader invested in the cryptocurrency as much as $400 million in total. So, his BTC pool increased from 55,000 to 96,000 coins, most of which were bought at the price of $6,000. Taking into account bitcoin current cost, we may well celebrate another millionaire. As head of 360 Blockchain Inc thinks, this investment has very likely been made by a Wall Street tycoon. An abrupt fall from $21,000 below $6,000 came as a shock particularly to those who had put some money into BTC.
Still, experienced traders are hardly concerned over the BTC plunge. FundStrat Global Advisor co-founder Tom Lee is sure there are new highs due for the cryptocurrency this year. Having analyzed over 2 dozens of BTC declines, he came to a conclusion that this cryptocurrency takes about 1.7 times the duration of its fall to recover.
Понедельник, 26 Февраля 2018 г. 05:26
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Taking into account the current growth of geopolitical tensions all over the world, caused by the poor dynamics of oil prices, the deterioration in relations between Russia and the United States, and the increase in interest rates in the West, there is no hope for more optimistic scenario of development in 2018. We should be prepared for toughen sanctions, reduction in oil prices, and weakening of the ruble. What else will be important for investors during this period, you will find out from our material
Geopolitical tensionsThe results of the outgoing year demonstrate that due to the prolongation of the sanctions regime, there will be no rapprochement between Russia and the United States in 2018. In addition, a constraint of the development of bilateral relations will be the introduction of a ban on the purchase of Russian bonds of a financial loan (FLB) and derivatives on them. The issue about the US tax reform is still unclear.The nuclear program of the DPRK, the deterioration of the situation in the Middle East and Turkey and the political climate in Europe, elections in a number of developing countries can also affect the political landscape.
Oil surprisesWith regard to the oil market in 2018, the prolongation of the OPEC+ agreement should provide the same serious support to the quotations of energy assets as in the current year.As the International Energy Agency (IEA) forecast, the market may reach a balance of supply and demand against the expected acceleration of the global economy.The rising tension in the Middle East, if it continues to take place, will have a positive impact on the increasing oil prices, to $50-55 per barrel of Brent oil. Further growth of oil production in the US will strengthen the negative impact on the market.
The economic agendaDespite the positive trends which the economic growth in Russia has shown this year (1.6% year on year), the dynamics of GDP growth can not be called stable.In 2018, the previous drivers of growth will continue, but we cannot speak of the accelerating GDP growth (below 2%), while inflation rate will rise more rapidly (from 2.4% to 4%). In so doing, a moderately tight budget policy and a gradual reduction in the Central Bank's key rate will remain a stabilizing factor.
Currency debtThe continuing interest in risk, stimulating monetary policy of the global regulators, as well as a relatively high dollar rate have driven down the yields of Russian Eurobonds this year.Given the predictable nature of the global regulators' policy, the moderate growth of Eurobond yields is more likely to occur than futher price inflation. It is expected that the US Federal Reserve System (FRS) will increase the rate by 1 percentage point to the range of 2-2.25% by the end of 2018.
Avoiding the carry trade strategyThe reduction in the key rate by the Central Bank of the Russian Federation (up to 8% in the current year, and by one more percentage point in 2018), an attractive real interest rate (5.9% in 2017 and 2-3% at end of 2018) will have a positive impact on the public debt in the coming year. The strengthening of the ruble will be replaced by a moderate devaluation of the ruble against the US dollar.The attractiveness of the carry trade strategy will decrease. The opportunities of the further growth of the market with ruble fixed-income instruments depend on the regulator's plans to move toward neutral monetary policy.
Exchange stagnationThe Russian market still does not have any preconditions for an active growth.The data on key multiples (P/E, EV/EBITDA, etc.) and the MICEX and RTS stock indices in the first half of 2017 indicate a neutral outlook for the stock market perspectives in the medium term.Therefore, to date, the Russian market continues to remain one of the most underappreciated among the developing ones.
Понедельник, 26 Февраля 2018 г. 05:26
+ в цитатник
Taking into account the current growth of geopolitical tensions all over the world, caused by the poor dynamics of oil prices, the deterioration in relations between Russia and the United States, and the increase in interest rates in the West, there is no hope for more optimistic scenario of development in 2018. We should be prepared for toughen sanctions, reduction in oil prices, and weakening of the ruble. What else will be important for investors during this period, you will find out from our material
Geopolitical tensionsThe results of the outgoing year demonstrate that due to the prolongation of the sanctions regime, there will be no rapprochement between Russia and the United States in 2018. In addition, a constraint of the development of bilateral relations will be the introduction of a ban on the purchase of Russian bonds of a financial loan (FLB) and derivatives on them. The issue about the US tax reform is still unclear.The nuclear program of the DPRK, the deterioration of the situation in the Middle East and Turkey and the political climate in Europe, elections in a number of developing countries can also affect the political landscape.
Oil surprisesWith regard to the oil market in 2018, the prolongation of the OPEC+ agreement should provide the same serious support to the quotations of energy assets as in the current year.As the International Energy Agency (IEA) forecast, the market may reach a balance of supply and demand against the expected acceleration of the global economy.The rising tension in the Middle East, if it continues to take place, will have a positive impact on the increasing oil prices, to $50-55 per barrel of Brent oil. Further growth of oil production in the US will strengthen the negative impact on the market.
The economic agendaDespite the positive trends which the economic growth in Russia has shown this year (1.6% year on year), the dynamics of GDP growth can not be called stable.In 2018, the previous drivers of growth will continue, but we cannot speak of the accelerating GDP growth (below 2%), while inflation rate will rise more rapidly (from 2.4% to 4%). In so doing, a moderately tight budget policy and a gradual reduction in the Central Bank's key rate will remain a stabilizing factor.
Currency debtThe continuing interest in risk, stimulating monetary policy of the global regulators, as well as a relatively high dollar rate have driven down the yields of Russian Eurobonds this year.Given the predictable nature of the global regulators' policy, the moderate growth of Eurobond yields is more likely to occur than futher price inflation. It is expected that the US Federal Reserve System (FRS) will increase the rate by 1 percentage point to the range of 2-2.25% by the end of 2018.
Avoiding the carry trade strategyThe reduction in the key rate by the Central Bank of the Russian Federation (up to 8% in the current year, and by one more percentage point in 2018), an attractive real interest rate (5.9% in 2017 and 2-3% at end of 2018) will have a positive impact on the public debt in the coming year. The strengthening of the ruble will be replaced by a moderate devaluation of the ruble against the US dollar.The attractiveness of the carry trade strategy will decrease. The opportunities of the further growth of the market with ruble fixed-income instruments depend on the regulator's plans to move toward neutral monetary policy.
Exchange stagnationThe Russian market still does not have any preconditions for an active growth.The data on key multiples (P/E, EV/EBITDA, etc.) and the MICEX and RTS stock indices in the first half of 2017 indicate a neutral outlook for the stock market perspectives in the medium term.Therefore, to date, the Russian market continues to remain one of the most underappreciated among the developing ones.
Federal Reserve Chairman Jerome Powell has appointed two monetary-policy experts to serve as senior advisers.
They are Jon Faust, professor of economics at Johns Hopkins University and Antulio Bomfim, an economist in the Fed's monetary affairs division.
At the end of January, the FOMC held the first monetary policy meeting in 2018, which was the last for Fed Chair Janet Yellen. The Fed policymakers left the benchmark interest rate unchanged in a range of 1.25% to 1.5%, hinting at the continuation of the rate hike cycle in the future.
During this meeting, Jerome Powell was chosen the next chairman of the Federal Reserve, after his candidacy was proposed by President Donald Trump and approved by Congress.
Federal Reserve Chairman Jerome Powell has appointed two monetary-policy experts to serve as senior advisers.
They are Jon Faust, professor of economics at Johns Hopkins University and Antulio Bomfim, an economist in the Fed's monetary affairs division.
At the end of January, the FOMC held the first monetary policy meeting in 2018, which was the last for Fed Chair Janet Yellen. The Fed policymakers left the benchmark interest rate unchanged in a range of 1.25% to 1.5%, hinting at the continuation of the rate hike cycle in the future.
During this meeting, Jerome Powell was chosen the next chairman of the Federal Reserve, after his candidacy was proposed by President Donald Trump and approved by Congress.
Federal Reserve Chairman Jerome Powell has appointed two monetary-policy experts to serve as senior advisers.
They are Jon Faust, professor of economics at Johns Hopkins University and Antulio Bomfim, an economist in the Fed's monetary affairs division.
At the end of January, the FOMC held the first monetary policy meeting in 2018, which was the last for Fed Chair Janet Yellen. The Fed policymakers left the benchmark interest rate unchanged in a range of 1.25% to 1.5%, hinting at the continuation of the rate hike cycle in the future.
During this meeting, Jerome Powell was chosen the next chairman of the Federal Reserve, after his candidacy was proposed by President Donald Trump and approved by Congress.
Federal Reserve Chairman Jerome Powell has appointed two monetary-policy experts to serve as senior advisers.
They are Jon Faust, professor of economics at Johns Hopkins University and Antulio Bomfim, an economist in the Fed's monetary affairs division.
At the end of January, the FOMC held the first monetary policy meeting in 2018, which was the last for Fed Chair Janet Yellen. The Fed policymakers left the benchmark interest rate unchanged in a range of 1.25% to 1.5%, hinting at the continuation of the rate hike cycle in the future.
During this meeting, Jerome Powell was chosen the next chairman of the Federal Reserve, after his candidacy was proposed by President Donald Trump and approved by Congress.
Taking into account the current growth of geopolitical tensions all over the world, caused by the poor dynamics of oil prices, the deterioration in relations between Russia and the United States, and the increase in interest rates in the West, there is no hope for more optimistic scenario of development in 2018. We should be prepared for toughen sanctions, reduction in oil prices, and weakening of the ruble. What else will be important for investors during this period, you will find out from our material
Geopolitical tensionsThe results of the outgoing year demonstrate that due to the prolongation of the sanctions regime, there will be no rapprochement between Russia and the United States in 2018. In addition, a constraint of the development of bilateral relations will be the introduction of a ban on the purchase of Russian bonds of a financial loan (FLB) and derivatives on them. The issue about the US tax reform is still unclear.The nuclear program of the DPRK, the deterioration of the situation in the Middle East and Turkey and the political climate in Europe, elections in a number of developing countries can also affect the political landscape.
Oil surprisesWith regard to the oil market in 2018, the prolongation of the OPEC+ agreement should provide the same serious support to the quotations of energy assets as in the current year.As the International Energy Agency (IEA) forecast, the market may reach a balance of supply and demand against the expected acceleration of the global economy.The rising tension in the Middle East, if it continues to take place, will have a positive impact on the increasing oil prices, to $50-55 per barrel of Brent oil. Further growth of oil production in the US will strengthen the negative impact on the market.
The economic agendaDespite the positive trends which the economic growth in Russia has shown this year (1.6% year on year), the dynamics of GDP growth can not be called stable.In 2018, the previous drivers of growth will continue, but we cannot speak of the accelerating GDP growth (below 2%), while inflation rate will rise more rapidly (from 2.4% to 4%). In so doing, a moderately tight budget policy and a gradual reduction in the Central Bank's key rate will remain a stabilizing factor.
Currency debtThe continuing interest in risk, stimulating monetary policy of the global regulators, as well as a relatively high dollar rate have driven down the yields of Russian Eurobonds this year.Given the predictable nature of the global regulators' policy, the moderate growth of Eurobond yields is more likely to occur than futher price inflation. It is expected that the US Federal Reserve System (FRS) will increase the rate by 1 percentage point to the range of 2-2.25% by the end of 2018.
Avoiding the carry trade strategyThe reduction in the key rate by the Central Bank of the Russian Federation (up to 8% in the current year, and by one more percentage point in 2018), an attractive real interest rate (5.9% in 2017 and 2-3% at end of 2018) will have a positive impact on the public debt in the coming year. The strengthening of the ruble will be replaced by a moderate devaluation of the ruble against the US dollar.The attractiveness of the carry trade strategy will decrease. The opportunities of the further growth of the market with ruble fixed-income instruments depend on the regulator's plans to move toward neutral monetary policy.
Exchange stagnationThe Russian market still does not have any preconditions for an active growth.The data on key multiples (P/E, EV/EBITDA, etc.) and the MICEX and RTS stock indices in the first half of 2017 indicate a neutral outlook for the stock market perspectives in the medium term.Therefore, to date, the Russian market continues to remain one of the most underappreciated among the developing ones.
Taking into account the current growth of geopolitical tensions all over the world, caused by the poor dynamics of oil prices, the deterioration in relations between Russia and the United States, and the increase in interest rates in the West, there is no hope for more optimistic scenario of development in 2018. We should be prepared for toughen sanctions, reduction in oil prices, and weakening of the ruble. What else will be important for investors during this period, you will find out from our material
Geopolitical tensionsThe results of the outgoing year demonstrate that due to the prolongation of the sanctions regime, there will be no rapprochement between Russia and the United States in 2018. In addition, a constraint of the development of bilateral relations will be the introduction of a ban on the purchase of Russian bonds of a financial loan (FLB) and derivatives on them. The issue about the US tax reform is still unclear.The nuclear program of the DPRK, the deterioration of the situation in the Middle East and Turkey and the political climate in Europe, elections in a number of developing countries can also affect the political landscape.
Oil surprisesWith regard to the oil market in 2018, the prolongation of the OPEC+ agreement should provide the same serious support to the quotations of energy assets as in the current year.As the International Energy Agency (IEA) forecast, the market may reach a balance of supply and demand against the expected acceleration of the global economy.The rising tension in the Middle East, if it continues to take place, will have a positive impact on the increasing oil prices, to $50-55 per barrel of Brent oil. Further growth of oil production in the US will strengthen the negative impact on the market.
The economic agendaDespite the positive trends which the economic growth in Russia has shown this year (1.6% year on year), the dynamics of GDP growth can not be called stable.In 2018, the previous drivers of growth will continue, but we cannot speak of the accelerating GDP growth (below 2%), while inflation rate will rise more rapidly (from 2.4% to 4%). In so doing, a moderately tight budget policy and a gradual reduction in the Central Bank's key rate will remain a stabilizing factor.
Currency debtThe continuing interest in risk, stimulating monetary policy of the global regulators, as well as a relatively high dollar rate have driven down the yields of Russian Eurobonds this year.Given the predictable nature of the global regulators' policy, the moderate growth of Eurobond yields is more likely to occur than futher price inflation. It is expected that the US Federal Reserve System (FRS) will increase the rate by 1 percentage point to the range of 2-2.25% by the end of 2018.
Avoiding the carry trade strategyThe reduction in the key rate by the Central Bank of the Russian Federation (up to 8% in the current year, and by one more percentage point in 2018), an attractive real interest rate (5.9% in 2017 and 2-3% at end of 2018) will have a positive impact on the public debt in the coming year. The strengthening of the ruble will be replaced by a moderate devaluation of the ruble against the US dollar.The attractiveness of the carry trade strategy will decrease. The opportunities of the further growth of the market with ruble fixed-income instruments depend on the regulator's plans to move toward neutral monetary policy.
Exchange stagnationThe Russian market still does not have any preconditions for an active growth.The data on key multiples (P/E, EV/EBITDA, etc.) and the MICEX and RTS stock indices in the first half of 2017 indicate a neutral outlook for the stock market perspectives in the medium term.Therefore, to date, the Russian market continues to remain one of the most underappreciated among the developing ones.
Taking into account the current growth of geopolitical tensions all over the world, caused by the poor dynamics of oil prices, the deterioration in relations between Russia and the United States, and the increase in interest rates in the West, there is no hope for more optimistic scenario of development in 2018. We should be prepared for toughen sanctions, reduction in oil prices, and weakening of the ruble. What else will be important for investors during this period, you will find out from our material
Geopolitical tensionsThe results of the outgoing year demonstrate that due to the prolongation of the sanctions regime, there will be no rapprochement between Russia and the United States in 2018. In addition, a constraint of the development of bilateral relations will be the introduction of a ban on the purchase of Russian bonds of a financial loan (FLB) and derivatives on them. The issue about the US tax reform is still unclear.The nuclear program of the DPRK, the deterioration of the situation in the Middle East and Turkey and the political climate in Europe, elections in a number of developing countries can also affect the political landscape.
Oil surprisesWith regard to the oil market in 2018, the prolongation of the OPEC+ agreement should provide the same serious support to the quotations of energy assets as in the current year.As the International Energy Agency (IEA) forecast, the market may reach a balance of supply and demand against the expected acceleration of the global economy.The rising tension in the Middle East, if it continues to take place, will have a positive impact on the increasing oil prices, to $50-55 per barrel of Brent oil. Further growth of oil production in the US will strengthen the negative impact on the market.
The economic agendaDespite the positive trends which the economic growth in Russia has shown this year (1.6% year on year), the dynamics of GDP growth can not be called stable.In 2018, the previous drivers of growth will continue, but we cannot speak of the accelerating GDP growth (below 2%), while inflation rate will rise more rapidly (from 2.4% to 4%). In so doing, a moderately tight budget policy and a gradual reduction in the Central Bank's key rate will remain a stabilizing factor.
Currency debtThe continuing interest in risk, stimulating monetary policy of the global regulators, as well as a relatively high dollar rate have driven down the yields of Russian Eurobonds this year.Given the predictable nature of the global regulators' policy, the moderate growth of Eurobond yields is more likely to occur than futher price inflation. It is expected that the US Federal Reserve System (FRS) will increase the rate by 1 percentage point to the range of 2-2.25% by the end of 2018.
Avoiding the carry trade strategyThe reduction in the key rate by the Central Bank of the Russian Federation (up to 8% in the current year, and by one more percentage point in 2018), an attractive real interest rate (5.9% in 2017 and 2-3% at end of 2018) will have a positive impact on the public debt in the coming year. The strengthening of the ruble will be replaced by a moderate devaluation of the ruble against the US dollar.The attractiveness of the carry trade strategy will decrease. The opportunities of the further growth of the market with ruble fixed-income instruments depend on the regulator's plans to move toward neutral monetary policy.
Exchange stagnationThe Russian market still does not have any preconditions for an active growth.The data on key multiples (P/E, EV/EBITDA, etc.) and the MICEX and RTS stock indices in the first half of 2017 indicate a neutral outlook for the stock market perspectives in the medium term.Therefore, to date, the Russian market continues to remain one of the most underappreciated among the developing ones.
Taking into account the current growth of geopolitical tensions all over the world, caused by the poor dynamics of oil prices, the deterioration in relations between Russia and the United States, and the increase in interest rates in the West, there is no hope for more optimistic scenario of development in 2018. We should be prepared for toughen sanctions, reduction in oil prices, and weakening of the ruble. What else will be important for investors during this period, you will find out from our material
Geopolitical tensionsThe results of the outgoing year demonstrate that due to the prolongation of the sanctions regime, there will be no rapprochement between Russia and the United States in 2018. In addition, a constraint of the development of bilateral relations will be the introduction of a ban on the purchase of Russian bonds of a financial loan (FLB) and derivatives on them. The issue about the US tax reform is still unclear.The nuclear program of the DPRK, the deterioration of the situation in the Middle East and Turkey and the political climate in Europe, elections in a number of developing countries can also affect the political landscape.
Oil surprisesWith regard to the oil market in 2018, the prolongation of the OPEC+ agreement should provide the same serious support to the quotations of energy assets as in the current year.As the International Energy Agency (IEA) forecast, the market may reach a balance of supply and demand against the expected acceleration of the global economy.The rising tension in the Middle East, if it continues to take place, will have a positive impact on the increasing oil prices, to $50-55 per barrel of Brent oil. Further growth of oil production in the US will strengthen the negative impact on the market.
The economic agendaDespite the positive trends which the economic growth in Russia has shown this year (1.6% year on year), the dynamics of GDP growth can not be called stable.In 2018, the previous drivers of growth will continue, but we cannot speak of the accelerating GDP growth (below 2%), while inflation rate will rise more rapidly (from 2.4% to 4%). In so doing, a moderately tight budget policy and a gradual reduction in the Central Bank's key rate will remain a stabilizing factor.
Currency debtThe continuing interest in risk, stimulating monetary policy of the global regulators, as well as a relatively high dollar rate have driven down the yields of Russian Eurobonds this year.Given the predictable nature of the global regulators' policy, the moderate growth of Eurobond yields is more likely to occur than futher price inflation. It is expected that the US Federal Reserve System (FRS) will increase the rate by 1 percentage point to the range of 2-2.25% by the end of 2018.
Avoiding the carry trade strategyThe reduction in the key rate by the Central Bank of the Russian Federation (up to 8% in the current year, and by one more percentage point in 2018), an attractive real interest rate (5.9% in 2017 and 2-3% at end of 2018) will have a positive impact on the public debt in the coming year. The strengthening of the ruble will be replaced by a moderate devaluation of the ruble against the US dollar.The attractiveness of the carry trade strategy will decrease. The opportunities of the further growth of the market with ruble fixed-income instruments depend on the regulator's plans to move toward neutral monetary policy.
Exchange stagnationThe Russian market still does not have any preconditions for an active growth.The data on key multiples (P/E, EV/EBITDA, etc.) and the MICEX and RTS stock indices in the first half of 2017 indicate a neutral outlook for the stock market perspectives in the medium term.Therefore, to date, the Russian market continues to remain one of the most underappreciated among the developing ones.
The Nord Stream 2 pipeline still causes many disputes. There are a lot of strong opponents of the project, but the number of supporters grows at breakneck pace. Recently, Angela Merkel joined the ranks of the Nord Stream 2 supporters.
In her speech after the meeting with Poland Prime Minister Mateusz Morawiecki, the German Chancellor said that this project does not threaten the European energy security. “We think this is an economic project. We are also for energy diversification. We also want Ukraine to continue to have transit gas traffic, but we believe Nord Stream poses no danger to diversification,” she said. Now Poland, being one of the most vocal opponents of Nord Stream 2, sees the talks about the diversification of supplies as lobbying for the interests of particular countries.
Indeed, what kind of diversification the parties talk about if this gas comes from the same source - from Russia. In addition, while the Russian companies are under sanctions, real alternatives have started appearing in Europe. Poland intends to launch its own project - Baltic Pipe, a pipeline that goes via the Baltic Sea from Poland to Denmark and connects to the Norwegian gas network.
