Developed Countries
As expected, the Reserve Bank of New Zealand delivered its fifth consecutive half-point hike on Wednesday, raising the Official Cash Rate (OCR) to 3.5%. In addition, the Monetary Policy Committee indicated that economic conditions warrant further monetary…
Russia’s conflict with the West will escalate and trigger more bad news for risky assets this fall. Beyond that, stalemate looms. Latin American equities present a potential opportunity once the macro and geopolitical backdrop improve.
The US JOLTS Report revealed that the number of job openings decreased to 10.1 million in August from 11.2 million in July, largely below expectations of a milder decline. This 10% month-on-month decrease is the largest since the beginning of the pandemic in…
On Tuesday, the Reserve Bank of Australia delivered a dovish surprise to market participants. The central bank slowed the pace of rate hikes by raising the cash rate by only 25 basis points to 2.6% – below the 50bp hike anticipated. Tuesday’s decision follows…
Following a 27% decline from mid-June to mid-September, US gasoline prices have been steadily rising for the past two weeks. Initially, the increase occurred despite falling oil prices. However, oil has also been rallying over the past few days amid…
According to BCA Research’s US Investment Strategy service, a cooling housing market does not represent a material economic threat. The speed and magnitude of the backup in mortgage rates has upended the housing market. However, sellers are likely to…
This week, we present our quarterly review of the BCA Research Global Fixed Income Strategy (GFIS) model bond portfolio for Q3/2022. We also discuss the model portfolio’s expected performance over next 3-6 months after our recent moves to reduce overall duration exposure and increase the underweight to US Treasuries.
This week we present our Portfolio Allocation Summary for October 2022.
The US ISM Manufacturing PMI sent a pessimistic signal about the US economy. The headline index lost 1.9 points in September and fell to 50.9 – disappointing market expectations of 52. This marks the lowest print since May 2020 and brings the indicator close…
BCA Research’s Global Asset Allocation service continues to recommend a highly defensive stance, with an underweight on equities, and as high a cash holding as your mandate permits. This has been an extraordinary year so far: US equities are down by 24%…