Market Insights
Trading Tools
The Nikkei Stock Average, compiled by the Tokyo Stock Exchange, measures changes in Japan's stock market, serving as a representative indicator of future trends influenced by economic data and interest rate policies.
Small cap stocks have fewer shares and a smaller market cap.They offer high potential,simple business models,and undervaluation,but come with high price volatility and risk.When investing,analyze safety,profitability,position,and turnover.
Stock dividends are a way for a company to distribute a portion of its profits to shareholders who hold shares. Though they may lower share prices, holding high-quality dividend stocks long-term ensures stable returns and higher compounded gains.
CHF Switzerland's official currency, backed by its neutral stance, is a forex focal point due to its stability and safe-haven status. Recent years have seen its exchange rate surge, impacting Switzerland's economy and USD-related transactions.
A support level is a price level where buying interest may emerge during a decline. Identifying it aids in trading strategy, considering its strength, combining indicators for entry, and setting rational stop-loss and take-profit.
The death cross is when the short-term line crosses below the long-term line, signaling a potential downtrend. Investors may sell or adopt a conservative strategy, considering market conditions, fundamentals, and support and resistance levels.
The trade deficit is when imports surpass exports, leading to currency devaluation, economic instability, and industrial competition. U.S. gap sparks Sino-U.S. tensions, highlighting global economic imbalance.
A fiscal deficit is when spending exceeds income, stimulating the economy but leading to long-term debt and inflation. The causes are mismanagement and deficit policies. Solutions: cut spending, raise taxes, and manage debt.
Precious metals are rare, industrially and economically valuable metallic elements, including gold, silver, platinum, and palladium. Valued for preservation and appreciation, they are considered safe-haven investments.
The Canadian dollar is Canada's official currency, influenced by economic data, interest rates, trade conditions, and oil prices tied to the global economy. Exchange rate fluctuations have a significant impact, so investors should be cautious.
Repo, securing funds by selling securities, is a short-term financing tool in financial markets, pivotal for liquidity and asset management. The vast repo market allows the Federal Reserve to regulate money supply, influencing market rates.
A swap involves two parties agreeing to exchange a set of assets or liabilities in the future, including currencies, interest rates, and equities. It aids in cost reduction, risk management, and diversification, but entails credit risk.
Warrants are certificates that can be converted to raise shares, grant the right to buy company stocks at a specified price within a period, provide funds, motivate staff, and enable flexible, diversified investments with hedging and leverage.
A trade surplus shows economic strength but can cause currency appreciation, hurting exports and sparking trade wars. Policy adjustments are crucial.
