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Dear Client, I will be discussing the economic and financial implications of the pandemic with my colleague Caroline Miller this Friday, March 27 at 8:00 AM EDT (12:00 PM GMT, 1:00 PM CET, 8:00 PM HKT). I hope you will be able to join…
Highlights The pandemic has a negative impact on households and has not peaked in the US. But a depression is likely to be averted. Our market-based geopolitical risk indicators point toward a period of rising political turbulence…
Feature We closed our short position in EM equities last week but still maintain our short recommendation on EM currencies. Going forward we will be looking for signs of a durable bottom in risk assets. The clash between forthcoming…
Special Report Highlights Global investors have come to accept the secular stagnation narrative as described by Larry Summers in November 2013, and have gravitated to the only available real time estimate of the real neutral rate of interest: the…
Highlights The global economy is in the midst of a painful recession. Monetary and fiscal authorities are responding forcefully to the crisis, but the lengths of the lockouts and quarantines remain a major source of downside risk…
  Highlights Market Turmoil: The combination of accelerating global cases of COVID-19, a surging US dollar and elevated market volatility has wreaked havoc on financial markets. A sustainable bottom in global risk assets (and,…
Highlights Financial markets are in a state of upheaval, and no one knows where or when they’ll bottom: We reiterate that it’s too early to dive back into equities or spread product. The policy path is not nearly as clear…
Special Report Dear Client, This week, I provided an update through a webcast on the economic and financial market outlook in the era of the COVID-19 outbreak. You can access the webcast here. In lieu of our regular report this week, we are sending…
Highlights Our short EM equity index recommendation has reached our target and we are booking profits on this trade. The halt to economic activity will produce a global recession that will be worse than the one that took place in late…
Highlights Uncertainty & Yields: Global bond yields, driven to all-time lows as investors seek safety amid rioting markets, now discount a multi-year period of very weak global growth and inflation. Bond Portfolio Strategy:…