Households’ excess pandemic savings will eventually run out, but we continue to disagree with the widespread view that they’re already gone or entirely in the hands of the wealthy. Consumers’ demise continues to be greatly…
The market has been held hostage by surging rates. Zombie companies are “alive” and are multiplying – they are highly sensitive to surging borrowing costs. Underweight Utilities to reduce portfolio duration. Maintain neutral…
August brought some respite for German factories struggling with poor demand this year. After falling by 11.3% m/m in the prior month, German factory orders rebounded by 3.9% m/m in August – beating expectations of a 1.5% m…
An update to our US bond strategy following this morning’s employment report.
In this report, we explore some trading opportunities after a volatile few weeks for FX markets.
According to BCA Research’s Commodity & Energy Strategy service, the EU carbon tax – aka Carbon Border Adjustment Mechanism (CBAM) – launched Sunday will lead to higher inflation in the medium term (3-5…
The results of the Bank of England’s latest monthly Decision Maker Panel survey reduces pressure on policymakers to tighten further. Business expectations regarding output price inflation over the coming year fell from 5…
BCA Research’s US Bond Strategy service recommends a barbelled allocation across the Treasury curve. The Treasury curve bear-steepened in September. The 2-year/10-year Treasury slope steepened 32 bps on the month and…
As expected, the Reserve Bank of New Zealand held the official cash rate at 5.5% on Wednesday, keeping policy unchanged for the third consecutive meeting. The press release underscored that while monetary policy is weighing on…
There is a connection between the bond market meltdown and Republican Party’s meltdown. Investors should expect more short-term financial market volatility as a result of the triple whammy of high bond yields, high oil prices, and a…