Red-Hot Resources

"Luck is not chance, it’s toil; fortune’s expensive smile is earned.”

Wednesday, November 29, 2006

News I'm Reading Today

Foreign traders stumped by nation of Quebec

(The Globe & Mail) Prime Minister Stephen Harper's ambiguous motion to recognize the Québécois as a nation has not only triggered a fractious debate within Canada, but likely left some foreign traders scratching their heads.

U.S. investment newsletter writer Dennis Gartman said ... “The signals sent to foreign investors can only be confusing beyond belief, for if we are confused, and we think we watch Canada political developments as closely as anyone outside of Canada, we can only wonder what the money managers of Stuttgart, of Hong Kong, of Adelaide must be thinking..."

To read the rest, CLICK HERE.

Loonie loses steam

(The Globe & Mail) The Canadian dollar fell the most in a month Wednesday as Europeans sold the currency amid expectations a U.S. slowdown will spell slower growth in Canada.

“People are concerned about Canada going forward and possibly the U.S. economy weakening off a little bit and the Canadian dollar falling,” said Scott Dulmage, head Canadian dollar trader at the Bank of Nova Scotia.

To read the rest, CLICK HERE.

Hedge funds behind last week's dip, Merrill report finds

(The National Post) Hedge funds have often been identified as the primary driver behind scorching price gains for everything from copper to orange juice in recent years, but Merrill Lynch tries to put some actual numbers behind their activity with their weekly hedge fund monitor. Among the findings this week: Macro hedge funds were the primary force behind the equity market correction this spring.

Last week, hedge funds began to sell their record long position in the S&P 500, from an estimated notional US$20-billion to $17-billion.

To read the rest, CLICK HERE.

Australian $ rides on greenback slides

(The Australian) THE Australian dollar continued to rise higher yesterday on the back of a faltering Greenback, passing US78.3c to its highest mark since May last year.

The local unit is being bid higher after foreign exchange traders interpreted a speech from US Federal Reserve chairman Ben Bernanke that US growth was stalling, as meaning the next change in interest rates for the world's biggest economy was probably down.

To read the rest, CLICK HERE.
Check out my new gold and energy blog at