Highlights US Corporates: The Fed continues to expand the reach of its extraordinary monetary policies designed to combat the COVID-19 recession, now giving itself the ability to hold BB-rated US high-yield bonds within its corporate…

Highlights Oil prices are up strongly from their lows, but conditions for a durable bottom may not yet be in place. The main hiccup is that an air pocket will likely remain under global oil demand until most social-distancing measures…

Highlights Global growth should bounce back in the third quarter, as mass COVID-19 testing allows more people to return to work. Temporary layoffs have accounted for the vast majority of the increase in unemployment so far. Ample…

Highlights Bond Yield Differentials: The deepening global recession has prompted aggressive monetary easing measures by virtually every developed economy central bank. With policy rates now near zero everywhere, government bond yield…

Highlights Chart 1Will Fed Purchases Mark The Top?  Policymakers can’t do much to boost economic activity when the entire population is under quarantine, but they can take steps to contain the ongoing credit shock and…

Highlights The Federal Reserve’s temporary FIMA repo facility will go a long way in helping ease dollar-funding stress outside the US. However, with the duration of the lockdown highly uncertain, a liquidity crisis could…

Special Report

Making predictions about the economic and market outlook seems a futile exercise in the midst of such massive uncertainty. The deluge of articles about COVID-19 merely serves to highlight that nobody really knows how things will play out…

Special Report

Dear Client, This week’s report is written by BCA’s chief economist, Martin Barnes. Martin explores the myriad ways the pandemic could influence long-term economic and financial trends. I trust you will find his report very…

Highlights Please note that we published a Special Report early this week titled Brazilian Banks: Falling Angels, and an analysis on India. Please also note that we are publishing an analysis on Indonesia below. Given uncertainty…

Highlights Extreme global economic uncertainty has pushed demand for USD higher, and forced investors to liquidate gold holdings to raise cash for margin calls and to provide precautionary balances. Gold endured a succession of down…