Factors Fueling U.S. stocks and CFDs, Wednesday, March 20:
Jitters Cyprus: Cyprus Tensions are moving towards bankruptcy continues after parliament rejected Cyprus EU bailout terms. So far, banks in Cyprus are still closed until the weekend, at the same time the ECB has threatened to end emergency aid to troubled banks in the country. However there is still hope that Russia will disburse funds as it had been given to Cyprus before.
BoE
Minutes: Pound jumped after struck by the BoE minutes showed that one
of the reasons why the central bank did not increase the stimulus is
concern about inflationary pressures in the event of additional QE BoE
officials feared would lead to further weakening pound sterling thus
giving the perception that the central bank failed to maintain commitment to low inflation levels.
Fed
Statement: The focus of investors will be focused on the Fed's
statement after the FOMC meeting, which is expected to continue to
maintain the bond purchase program of $ 85 billion per month. In
addition, the market participants will be waiting for the economy and
interest rate projections the Fed, particularly the unemployment
outlook, in December, forecast the U.S. unemployment rate was in the
range 7.4% - 7.7%. If the Federal Reserve lowered its unemployment rate, it will signal the strengthening of the U.S. labor market.
FedEx
Earnings: Investors can also measure the pulse of the economy through
FedEx earnings are expected to shrink profit over the previous year,
largely due to higher jet fuel prices. Share CFDs FedEx alone has risen 17% since the beginning of this year.
Lennar Results: Signal recovery housing sector is also expected to contribute to earnings Lennar. Home builders are expected to increase sales and profits and new orders surge. Share CFDs Lennar gained 57% so far in the last year.
