アメリカ合衆国
Numerous divergences have opened up between global risk assets and global business cycle variables. These gaps are unsustainable, and odds are that the recoupling will occur to the downside with risk assets selling off.
As expected, the US CPI release shows the monthly headline and core inflation gauges were both unchanged at 0.2% m/m in July. Notably, annualized monthly core inflation fell below 2% for the second consecutive month. Similarly, the annual change in core CPI…
The rise in bond yields over the past few weeks has made some investors wonder whether US Treasurys and other government bonds really are a good hedge against recession. Could there be an environment in which the economy goes into recession but bond yields…
According to BCA Research’s Commodity & Energy Strategy service, gold’s appeal as a safe haven and store of value will increase as fiscal dominance overtakes monetary dominance at the Fed. Fitch’s downgrade of US debt from AAA to AA+ hit markets as the…
Some thoughts on this morning’s inflation number and implications for Treasury yields and TIPS.
On Monday, Moody’s downgraded the credit ratings of 10 small to mid-sized US banks and placed some of the biggest US banks on downgrade watch. The latter include Bank of New York Mellon, US Bancorp, State Street, and Truist Financial. The decision follows…
During the last economic expansion, a structurally overweight allocation to stocks was at least partially warranted by the idea that “There Is No Alternative” – or “T.I.N.A.” During the last expansion, very accommodative monetary policy significantly reduced…
According to BCA Research’s Geopolitical Strategy service, investors should stay overweight low-beta assets. Geopolitical risk is likely to stay elevated in Asia Pacific in the coming months. Mainland China faces debt-deflation, poor governance, and a…
The global economy will not enjoy an “immaculate disinflation” but will suffer a very maculate one due to China’s growth slowdown and restrictive monetary policy in the developed world. Investors should stay overweight low-beta assets.
The US NFIB’s Small Business Optimism Index increased by 0.9 points to an eight-month high of 91.9, beating expectations of a more muted 0.3-point increase. Although the level remains depressed below the 49-year average of 98, the trend is positive: the July…