Online stock brokers TD Ameritrade, E*Trade & Charles Schwab have officially cut their online broker commissions to zero. Charles Schwab was the first brokerage, Interactive Brokers followed suit in cutting their commission rates, then came along TD Ameritrade and E*Trade.
Many online brokers are cutting their commissions to nil (0 zero), because of the climate that brokerages such as Robin Hood has had on the industry, allowing free trades of equities to their clients.
Since then other brokers have also cut their commissions to incur more of fairer playing field for their investors, traders and account holders. Many have speculated this was bound to happen at some point. Well, it looks like it has finally arrived. -SB
1) A federal judge has ruled that investors may sue five big banks for conspiring to rig prices on bonds worth hundreds of billions of dollars issued by Fannie Mae and Freddie Mac for a seven year period. This clears the way for investors to pursue antitrust claims against Bank of America, BNP Paribas SA, Deutsche Bank AG, Goldman Sachs Group and Morgan Stanley. The banks are accused of fixing prices at a specific level before bringing the bonds to the secondary market.
2) The U.S. trade deficit narrowed overall slightly in July, however the gap with China surged to a six-month high. The trade tensions have caused wild swings in the trade deficit as exporters and importers try to stay ahead of the tariff fight between America and China. The Atlanta Federal Reserve is forecasting the economy growing at a 1.7% pace in the third quarter.
3) Oil dependent nations are facing economic troubles because gas and oil production are unsustainable. As oil and gas supplies dwindle and demand decreases, their once lucrative revenues may be decreasing. Nations whose economies are principally oil production face a trouble future as their oils supplies decline in the next few decades, with nothing to replace those revenues. Those nations facing economic troubles are the UAE, Nigeria, Qatar, Libya, Angola, Kuwait, Venezuela, Iraq and Saudi Arabia.
4) Stock market closings for – 4 SEP 19:
Dow 26,355.47 up 237.45 Nasdaq 7,976.88 up 102.72 S&P 500 2,937.78 up 31.51
1) China has countered U.S. tariffs imposed last Friday with tariffs on $60 billion dollars of U.S. imports to China. About 10 to 15% of America’s import revenues come from China, and while the trade war is high stakes and risky, it’s the only real tool America has to deal with China, because China ignores the world trade organization rulings.
2) Fears are increasing that China may not buy as many U.S. treasury notes as she has in the past, which would force America to increase the prime interest rate. There are even fears that China might not buy any bonds at all, or even start selling off bonds she now holds in retaliation for the tariffs. It’s reported that China is also buying up gold.
3) Boeing aircraft is fearful of being a target for tariff reprisals, who holds substantial orders from China. Apple, who gets 20% of its revenues from China, and Caterpillar are also facing business downturns if China places tariffs on imports of their products.
Nigerian bonds are up over 7% this year alone. In October Naira bonds beat the US stock market over 24% according to data provided by Standard & Poors report, first reported by Channels Tv online.
Nigerian bonds have beaten other African bonds in yield, surpassing South Africa and Kenyan bonds collectively. Kenyan and South African bonds have returned negatively in the red by 13%, while Naira bonds have gained a respective positive 7%.-SB
*( reporting & data provided by Channels Tv & S&P index)*
The investment management firm that is known in the finance world as Pimco, has decided to shut down its equities units. The firm indicated they will focus on key financials, such as their bonds and investment management divisions.
They will be liquidating their equity market units, and their Chief Investment Officer Virginie Maisonneuve has also decided to step down from the CIO position. Maisonneuve oversaw one of their equity units which focused on Emerging Markets around the globe.
Pimco manages 1.59 trillion dollars in complex assets, while they are also trying to diversify and be more broad in investment strategy and stock diversification.-SB