GameStop craze puts holders of retail ETF on wild ride
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Michael Wursthorn
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GameStop mania has spilled over into a popular exchange-traded fund, as the WallStreetBets craze reaches beyond shares favored on social media.
The fund, State Street’s SPDR S&P Retail ETF, was created in 2006 to give investors broad exposure to mall-store firms. Its shares have surged 23% this year, far outstripping a 4% gain in the S&P 500, despite the uncertain outlook for retail. Behind those gains are the traders who congregate on social-media platforms such as Reddit’s WallStreetBets forum and whose enthusiasm has turned this mundane investment into a roller coaster.
World’s Traders Catapult China to FX Big League on Yield Appeal
Bloomberg 2/22/2021
(Bloomberg)
The Chinese renminbi’s accelerating transformation from a sleepy backwater of the foreign-exchange market into a currency fit to rival global peers has traders setting aside concerns about how much further it can go without reform and buying into its ascent.
In London the world’s center of foreign exchange there’s more yuan changing hands than ever before. Options on the Chinese currency exceed those referencing the Japanese yen, and buying or selling the yuan is now as cheap as trading the British pound. Against this backdrop, there are signs the renminbi is playing an increasingly larger role in influencing broad dollar moves, according to Wells Fargo & Co.
In London the world’s center of foreign exchange there’s more yuan changing hands than ever before. Options on the Chinese currency exceed those referencing the Japanese yen, and buying or selling the yuan is now as cheap as trading the British pound. Against this backdrop, there are signs the renminbi is playing an increasingly larger role in influencing broad dollar moves, according to Wells Fargo & Co.
There have been many false dawns in China’s quest for the yuan to challenge other major currencies. But underpinning the explosion this time lies a torrent of capital flowing into China’s markets, fueled by a frantic search for returns with over $14 trillion of debt globally paying less than 0%.
China’s yield appeal catapults yuan to global FX big league
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China’s yield appeal catapults yuan to global FX big leagueBy Susanne Barton and Robert Fullem, Bloomberg
Last Updated: Feb 22, 2021, 07:50 AM IST
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Synopsis
In London the world’s center of foreign exchange there’s more yuan changing hands than ever before. Options on the Chinese currency exceed those referencing the Japanese yen, and buying or selling the yuan is now as cheap as trading the British pound.
Reuters
There have been many false dawns in China’s quest for the yuan to challenge other major currencies.
Data released Monday showed economic strength with further improvement ahead. U.S. Treasuries were off by five basis points but municipals saw aggressive eight to 10 basis point swings to higher yields across the curve.