Cross-Asset Liquidity Strategist, CrossBorder Capital

Michael J. Howell

Cross-Asset Liquidity Strategist

Implementing Research Using Alt Data & AI

CrossBorder Capital

CrossBorder Capital is a London-based independent investment advisory firm. Founded in 1996, it exploits a gap in the investment arena by focusing on Central bank liquidity. 

It specialises in the monitoring and analysis of global liquidity flows - an important determinant of asset prices, from currencies through to bonds, equities and real estate.

CrossBorder Capital implements its investment strategy and currently manages over US$ 350m.


Cross Asset Strategy

<ul>
<li>
Central Banks continue to fuel markets</li>
<li>
China’s PBoC starting to add liquidity</li>
<li>Is this a Shanghai Accord 2 matching previous monetary deals like 1985 Plaza Accord?</li>
<li>
Emerging Markets potentially key beneficiaries in 2020</li>
</ul>



Central Banks continue to fuel markets

China’s PBoC starting to add liquidity
Is this a Shanghai Accord 2 matching previous monetary deals like 1985 Plaza Accord?

Emerging Markets potentially key beneficiaries in 2020


The Race To The Top? Beijing Chases The Wall Street Bubble

<ul>
<li>
People's Bank (PBoC) injects US$100 billion into markets in December</li>
<li>Is this a new Shanghai Accord with America after the US-China preliminary trade agreement?</li>
<li>Biggest PBoC net injections since October 2017 and bullish for Emerging Markets
</li>
<li>Longer-term look for a digital Yuan, off-shore Euroyuan markets, more Chinese bond sales and a Yuan trade credit market</li>
</ul>



People's Bank (PBoC) injects US$100 billion into markets in December
Is this a new Shanghai Accord with America after the US-China preliminary trade agreement?
Biggest PBoC net injections since October 2017 and bullish for Emerging Markets

Longer-term look for a digital Yuan, off-shore Euroyuan markets, more Chinese bond sales and a Yuan trade credit market


A New Shanghai Accord? … Is The PBoC Finally Easing?

Technical Analyst, Vermilion Research

Joe Jasper

Technical Analyst

Technical and Quantitative Research

Vermilion Research

Vermilion’s objective is to deliver timely, actionable, and unique technical research to professional investors through the application of our various technical indicators.

Our research strategists seek to highlight securities which we believe are at major inflection points, based on our various technical and quantitative indicators, and offer asymmetric risk/return profiles. Our unique research methodology, centered on relative strength, enables our strategists to deliver superior investment recommendations.

Our process begins by organizing the universe of actively traded stocks into discrete sectors, then into industry groups. We then apply our technical and quantitative tools to identify developing price trends. Once attractive trends are identified within a selected sector or group, we screen for individual stocks which we believe offer the best risk/reward profile. We provide a historical perspective that often reveals, through our long-term charts, how price patterns often repeat themselves over time.

Technical Analysis

In today’s report we reiterate our bullish U.S. investment thesis, recap significant technical levels across indexes, and highlight attractive Groups and stocks within Health Care and Technology: Biotech, Mid-Cap, Biotech, Small-Cap, Semiconductors, Large-Cap, and Semiconductors, Mid-Cap..

In today’s report we reiterate our bullish U.S. investment thesis, recap significant technical levels across indexes, and highlight attractive Groups and stocks within Health Care and Technology: Biotech, Mid-Cap, Biotech, Small-Cap, Semiconductors, Large-Cap, and Semiconductors, Mid-Cap..

MSCI ACWI, STOXX 600 Breaking Out, Adding Fuel for Further U.S. Equity Market Rally

<ul>
<li>QE4 on-going: World Central Banks' balance sheets rising 5% annualised clip</li>
<li>US Federal Reserve balance sheet besting all-comers with a whopping near-23% growth rate</li>
<li>This liquidity surge is bond negative, but positive for risk assets: Risk-On</li>
<li>There could be favorable liquidity spill-overs for Emerging Markets and China in 2020</li>
</ul>


QE4 on-going: World Central Banks' balance sheets rising 5% annualised clip
US Federal Reserve balance sheet besting all-comers with a whopping near-23% growth rate
This liquidity surge is bond negative, but positive for risk assets: Risk-On
There could be favorable liquidity spill-overs for Emerging Markets and China in 2020


Did You Know? US Fed’s Balance Sheet Expanding At 23% Annualised Clip

Main Points<ul>
<li>Capital inflows and Quality mix of flows into the US dollar have peaked</li>
<li>Safe haven demand for US dollars falling away</li>
<li>Fed is undertaking a clear QE4 policy</li>
<li>A coming US dollar peak is consistent with ‘Risk-On’ investment stance</li>
</ul>

Main Points
Capital inflows and Quality mix of flows into the US dollar have peaked
Safe haven demand for US dollars falling away
Fed is undertaking a clear QE4 policy
A coming US dollar peak is consistent with ‘Risk-On’ investment stance


The US Dollar in 2020: Is A Major Inflection Point Coming Up?

China

The MSCI Em (Emerging Markets) Index is a free-float weighted equity index that captures large and mid cap representation across Emerging Markets (EM) countries. The index covers approximately 85% of the free float-adjusted market capitalization in each country.

MSCI Emerging Markets Index (MXEF INDEX)

The Race To The Top? Beijing Chases The Wall Street Bubble

Central Banks continue to fuel markets China’s PBoC starting to add liquidity Is this a Shanghai Accord 2 matching previous monetary deals like...

Michael J. Howell

A New Shanghai Accord? … Is The PBoC Finally Easing?

People's Bank (PBoC) injects US$100 billion into markets in December Is this a new Shanghai Accord with America after the US-China preliminary...

Michael J. Howell

MSCI ACWI, STOXX 600 Breaking Out, Adding Fuel for Further U.S. Equity Market Rally

In today’s report we reiterate our bullish U.S. investment thesis, recap significant technical levels across indexes, and highlight attractive...

Vermilion Research

Did You Know? US Fed’s Balance Sheet Expanding At 23% Annualised Clip

QE4 on-going: World Central Banks' balance sheets rising 5% annualised clip US Federal Reserve balance sheet besting all-comers with a whopping...

Michael J. Howell

The US Dollar in 2020: Is A Major Inflection Point Coming Up?

Main Points Capital inflows and Quality mix of flows into the US dollar have peaked Safe haven demand for US dollars falling away Fed is...

Michael J. Howell