A weakening economy will apply downward pressure to Treasury yields, but the Trump term premium will keep long-dated yields higher than they would otherwise be. This makes Treasury curve steepeners the most attractive trade in US…
The easing bias remains, but not all central banks are equal. This Central Bank Monitor update reveals who is ready to cut more and who is still pretending not to.
Q1 earnings point to risks for goods-focused sectors, reinforcing our US Equity strategists’ call to overweight services, upstream names, and domestic plays. With most S&P 500 companies having reported Q1 2025 earnings, the…
European equities have some short-term support, but global growth risks will cap gains. Our Chart Of The Week comes from Mathieu Savary, Chief European Investment Strategist. Mathieu sees probable but limited upside for European…
Soft April jobs confirm the Canadian labor market stall, yet we remain neutral on CGBs and structurally bullish on the CAD. The unemployment rate rose more than expected to 6.9% from 6.7%. Employment growth exceeded expectations but…
Our Portfolio Allocation Summary for May 2025.
The inflation divergence between the US and Eurozone drives our call to stay long US duration. Inflation, typically a lagging indicator, blends slow-moving labor pressures with fast-moving supply drivers. The COVID inflation spike…
The Bank of England’s hawkish cut reinforces our Gilts overweight and tactical short GBP view as global headwinds persist. The BoE lowered rates by 25 bps to 4.25% as expected, but the MPC vote was more split than expected. Five…
The Riksbank’s cautious stance sets up a dovish pivot, reinforcing our long Swedish bonds view and SEK fade vs. USD. The central bank held rates at 2.25% for the second time this year, with Governor Thedéen describing policy as well-…
The Fed held rates steady this afternoon, and the timing of its next move will be dictated by whether the tariff shock to inflation is transitory or more long lasting.