As expected, the Bank of Japan maintained its ultra-easy monetary policy stance at its meeting on Tuesday, making no changes in interest rates or yield curve control. The monetary policy statement highlighted that elevated…
Results of the ECB’s quarterly Bank Lending Survey suggest that the tight monetary policy stance is still weighing on the Eurozone economy. Banks tightened credit standards for businesses and consumers further in Q4…
In this Strategy Insight, we assess the monetary policy path for Australia and Canada in 2024 and we discuss how to profit from a growing divergence between the two economies.
BCA Research’s European Investment Strategy service concludes that investors should go long German curve steepeners. Last week at Davos, European Central Bank (ECB) President Christine Lagarde leaned heavily against the…
The SIFI banks (BAC, C, JPM and WFC) kicked off the fourth-quarter US reporting season on January 12th. As usual, our US Investment Strategists studied the SIFI’s earnings calls looking for macroeconomic insights from…
With US equity indices forging new highs, a key dynamic to watch to gauge the sustainability of the rally is earnings releases and forward guidance. With 52 S&P 500 companies having already reported their results, the Q4…
The US Conference Board’s Leading Economic Indicator (LEI) sent a mixed signal on Monday. On the one hand, the LEI posted its 22nd consecutive month-over-month decline in December – a negative sign for the…
The SIFI banks expressed confidence in their credit outlook for 2024 and expect that credit losses will crest soon, given the reserves they’ve already set aside. Their implicit embrace of the soft-landing narrative suggests to us…
Disinflation coupled with sticky wage growth is likely to result in either a second wave of inflation or layoffs and a recession. In the meantime, market expectations for sales, growth, and margins are overly optimistic and are…
The ECB will begin cutting rates in June, what does this start date imply for the yield curve and European cyclicals?