Market Analysis

Both stocks and bonds opened worse today but bonds have now moved into positive territory.  Bonds opened down on stronger than expected September Housing Starts which came in at an annualized pace of 610,000 vs expectations for a 579,000 figure. Building permits, though, were down to 539,000 vs expectations for a 565,000 annualized figure.   Bonds have moved to slightly positive on a safe haven trade that has hit equity markets after a surprise rate hike by the Chinese.  Global investors are concerned that Chinese policies will hurt global economic growth prospects. Also in Canada, the Bank of Canada lowered its economic forecast for the remainder of 2010 and for 2011.

Posted by Matthew Breston on October 19th, 2010 11:40 AMPost a Comment (0)

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