Good morning everyone. Let's kick start our new week with the latest updates on the world events. As I always say, when you know the news, you can apply the right forex trading strategies to make money.
It is unlikely that a Republican-controlled Senate will condemn Mr. Trump in two impeachment essays. The biggest danger for him was that the proceedings would paint an unfavorable portrait of the role of president to prevent Americans from supporting him in the November re-election. perhaps a "phase one" trade deal with China that he signed last week. By calling for a ceasefire in a previous trade war that has slowed economic growth, Mr. Trump has won one of the most powerful motivations for the incumbent president - also the main factor in the re-election.
Trade conflicts with China have slowed down the economy, with growth forecast in the election year to fall from 2.3% to 1.8% in 2019. Moreover: Tariff disputes also affect a major contribution to the economies of the regions that supported Mr. Trump in 2016. The trade agreement with China cannot completely eliminate the negative impact of trade disputes. trade, but it will end the threat of tariff escalation and lift some businesses facing uncertainty.
Today, Asian stocks will open for trading after a strong New Year's start when global stocks are at a record high. Trading on the monetary market early on Monday morning will not have many outstanding fluctuations, before the bond and stock markets open. The Asia Pacific futures market closed last week's session quite high after the S&P 500 and Nasdaq Composite both set a record on Friday. US stock and bond markets closed for Martin Luther King Jr. holiday
Meanwhile, oil traders will be watching the developments in Libya, where crude oil exports were stopped by one of the country's commanders at ports he controlled, causing output to drop more than a half. World leaders are working in Germany towards a more persistent ceasefire during the civil war in Libya. Crude oil ended Friday's session at $58.54/barrel, while gold was at $1,557.24/ounce.
A leading Morgan Stanley fund is betting on stocks that focus on cash-rich consumption in Asia, especially China, to manage market risk this year. Wall Street's Asia Opportunities Fund, which focuses on regional stocks except Japan, brought in a 44% profit over the past year, beating 99% of its peers. So what is the strategy here?
Kristian Heugh, the co-manager of the fund since its inception in 2016, said the portfolio focused on undervalued companies with low debt or net cash on their balance sheets; many of them are in the consumer sector. China is the country with the largest proportion of the fund of 1.5 billion USD, accounting for 57.7% of assets by the end of December. Heugh said that the world's second largest economy will still be important. This year, even though the economic growth rate is slower than 2019. Expectations of a recovery in economic growth have also motivated companies such as Sanford C. Bernstein and Citigroup Inc. to enter the Asian market this year.
World leaders meet in Berlin to work towards a more persistent ceasefire during the civil war in Libya, which saw Russia and Turkey provide military support to opposition groups. when countries outside of Libya scrambled to access energy resources. Eastern commander Khalifa Haftar - who was backed by Russia but left the armistice talks in Moscow last week. Libya's internationally recognized Prime Minister - Fayez al-Sarraj - will give five names to each committee to separate longer-term ceasefire terms, and the UN is pushing for a group meeting in Geneva in a few days. However, about 5 hours of official discussion in Germany on Sunday showed the fragility of any ceasefire.