Developed Countries
The performance of S&P 500 sectors was mixed on Monday with Financials emerging as the major loser, down 3.8%. In particular, the selloff in bank stocks deepened, with regional banks leading the decline. As BCA’s Chief US Investment strategist…
US Treasuries are rallying sharply on the expectation that the Fed will halt rate hikes in response to the collapse of Silicon Valley Bank. The 2-year yield ended the day near 4% on Monday as investors priced out rate hikes and raised bets on rate cuts later…
BCA Research’s European Investment Strategy service concludes that on a long-term basis, the pound is an attractive currency, but the near-term outlook is challenging. The long-term appeal of the GBP rests on three pillars: Valuations: The…
Our fixed income strategists recommend positioning for a bear-flattening of the US Treasury curve.
The UK economy is more resilient than was feared last year. While this will not help UK stocks, the Footsie’s long term prospects are appealing.
Investors in Europe and the American West are already starting to think about the implications of the 2024 election, given that sticky inflation and tighter monetary policy keep the risk of recession elevated.
The US employment report sent a mixed message for Fed policy on Friday. On the one hand, nonfarm payroll employment gains remained strong at 311 thousand in February – above expectations of 225 thousand and a pickup from the pace of increase at the end of…
As expected, the BoJ maintained its dovish policy stance at Governor Haruhiko Kuroda’s last monetary policy meeting ahead of his April 8 departure. The post-meeting statement noted that the recovery in economic activity is continuing with employment and…
Thursday’s sharp US equity selloff – which saw the S&P 500 lose 1.8% – extended to Friday, bringing down the US benchmark by another 1.4% and weighing on stocks globally. The catalyst for these moves was an announcement from SVB Financial Group of a…
According to BCA Research’s Global Investment Strategy service, over the long run, the deterioration in health trends in the US can weigh on labor supply and productivity, put upward pressure on bond yields, and hurt equity multiples. Even before Covid…