There is an odd feeling of Deja QEu this morning, when with two hours to go until the February payrolls, global stocks are modestly higher, US equity futures are likewise slightly higher on the back of a weaker dollar (or perhaps stronger Euro following a Market News report according to which the ECB may disappoint, more on that shortly), but it is gold that is breaking out, and after entering a bull market yesterday when it rallied 20% from its December lows...
While the market has had its share of bogeymen to worry about so far in 2016, mostly along the lines of the "Four Cs", namely China, Crude, Credit and Currencies, it has so far largely ignored one letter: the Big D, for Donald, as in how would a Trump presidency affect the market. And, as Reuters writes, it is time for Wall Street to add "the juggernaut that is Donald J. Trump to the list of what-ifs that is worrying Wall Street."
The most valuable company on the planet is set to square off against the FBI on Tuesday before the House Judiciary Committee in a highly publicized dispute regarding the iPhone that belonged to Syed Farook who, along with his wife, murdered more than a dozen people in December at a San Bernardino county holiday party.
The director of the FBI will appear, as will Manhattan District Attorney Cyrus Vance Jr, who will argue that “technology companies should not be able to dictate who can access key evidence in criminal investigations.”