The steepening of the yield-curve powered the outperformance of the S&P 500 Financials relative to the overall market since the spring of 2023 banking crisis. This sector returned 30.1% over this period, against 27.3% for the…
The Swiss National Bank’s 25 basis point rate cut on Thursday came as a dovish surprise to market participants anticipating it would hold the policy rate unchanged. The rate cut, which brought the policy rate down to 1.5%…
The flash PMI estimates for March produced a mixed update on manufacturing and service sector activity in the US and Eurozone. In the US, the results suggest that growth is more resilient in the manufacturing…
The US Presidential election is eight months away. In this report, we will be looking at what is left of President Biden’s political capital and his room for actions in the next few months which may include market-negative actions…
Despite a couple of rate cuts in H2 2024, borrowing costs will remain elevated in real terms amid lower inflation in the US and Europe. This and tightening fiscal policy will hinder domestic demand in advanced economies. Domestic…
Citigroup’s economic surprise index for the Euro Area has been on a steady ascent since mid-2023. Its continued increase after breaking into positive territory at the start of February indicates that the region’s…
There were no meaningful adjustments to the Fed’s communication on Wednesday. The post meeting statement was essentially unchanged with Chair Jay Powell noting that the risks to achieving the Fed’s goals are coming…
The UK CPI report showed inflation eased by more than anticipated in February. Headline CPI inflation dropped from 4.0% y/y to 3.4% y/y – below consensus estimates of 3.5% y/y and the weakest increase since September 2021.…
Our takeaways from this afternoon’s FOMC meeting.