Markets in a Precarious Equilibrium

Economic News
19 thg 4, 2018
Markets in a Precarious Equilibrium

Yesterday there was a meeting between Donald Trump and Japan's Prime Minister Shinzo Abe, during which the two leaders agreed on the need for closer economic cooperation between the two countries. The two leaders also agreed on the future negotiations between Donald Trump and the leader of North Korea Kim Jong-un, which will be held most likely in Sweden or Switzerland.

The stock market is very active and there is currently an increased profitability of risky assets. Some investors see the current situation in the world markets as a state of pre-crisis. This is based on comparisons of the current state of the markets and lead analogies from previous periods prior to the global economic crisis.

After the release of crude oil reserve data from the US oil quotes updated their highs to levels reached at the end of 2014. Oil prices are still at highs and there is no driving force that can seriously reduce the price of oil on the market today. Something that may have a significant pressure on prices is Friday's publication of the number of drilling rigs in the United States. Recall that at the moment the United States continues to increase oil production and update records for the given parameters.

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