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Market news: Blackstone Group (BX.N) is set to acquire a minority stake in Air Canadas Aeroplan loyalty program for $2 billion. This deal will inject new capital into Air Canada to address rising fuel costs and weak U.S. travel demand.According to the official measurement of the China Earthquake Networks Center, a 3.9-magnitude earthquake occurred in Gaoxian County, Yibin City, Sichuan Province (28.53 degrees north latitude, 104.66 degrees east longitude) at 05:31 on August 11, with a focal depth of 5 kilometers.An advisor to the Ukrainian Interior Minister stated that Russia launched ballistic attacks on the Kyiv, Zaporizhzhia, and Dnipropetrovsk regions. Multiple explosions occurred in Kyiv.Conflict Situation: 1. Iranian military: If the US dares to come, well cut off their feet. 2. Houthi rebels attack government forces again; UN envoy warns of escalation of conflict in Yemen. 3. Yemeni government media: Yemeni military bombed Houthi military strongholds and missile launchers in Marib province. Strait of Hormuz: 1. Iranian Foreign Ministry spokesperson: Discussions with Oman focused on establishing safe shipping routes, not on transit fees; however, the proposed agreement would include maritime service fees. The situation in the Strait of Hormuz depends on the actions of the US. 2. Iranian Parliament Deputy Speaker: The US must accept the arrangements Iran has established in the Strait of Hormuz. 3. US President Trump: We have cleared mines throughout the Strait of Hormuz. The strait is now open, and we control it. Peace Negotiations: 1. Iranian Foreign Ministry spokesperson: No direct negotiations with Washington, only information exchange through intermediaries. 2. Iranian Parliament Speaker Ghalibafs visit to Baghdad will be postponed until next week. 3. The commander of Irans Quds Force visited Baghdad and met with various Iraqi officials. 4. The Pakistani and Iranian foreign ministers spoke by phone to exchange views on the regional situation. 5. US President Trump: Demands reparations from Iran and has instructed his representatives to clearly include this demand in all future negotiations. 6. US media: The US, Israel, and Syria reached an understanding; nuclear materials at a secret Syrian location will be removed. Other matters: 1. Irans Supreme Leader announced several appointments, adjusting the leadership of the armed forces. 2. Iranian President: The US and Israels attacks relied on AI data, but all their "calculations" were thwarted. 3. Iranian President: The meeting with the Supreme Leader lasted 7-8 hours. 4. Iran: Ukraine must compensate for the attack on the Iranian cargo ship. 5. Gaza Peace Committee official: The Gaza Roadmap was jointly developed by the Peace Committee and Hamas, and consultations with Israel are ongoing. No trust-based or irreversible actions will be required from Israel until verified steps are taken on the ground.According to Saudi media Alhadath: Libyan military intelligence chief Foz Mansouri was assassinated in Benghazi, Libya.

Two Trades to Watch: DAX, GBP/USD

Jimmy Khan

May 07, 2022 10:43


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The DAX is falling as industrial output declines.


After a slaughter on Wall Street that saw the Nasdaq finsh 5% down, European equities have begun in the red, extending losses from the previous day.


Fears of inflation, stagflation, and recession are weighing on the market as we approach the weekend. The DAX is expected to shed 1.4 percent this week, marking the fifth consecutive week of losses.


In March, German industrial output decreased -3.9 percent on a month-over-month basis, down from 0.2 percent in February and considerably below the -1 percent drop forecast. The negative report comes on the heels of a sharp drop in German manufacturing orders in March. The data represents the economic effect of the Russian conflict on Germany and the Eurozone as a whole.


Germany does not have any additional statistics due today. Sentiment and the US NFP announcement will affect European indexes.