Highlights The backdrop for global high-yield corporates remains positive, and a rebound in global GDP and earnings will help ease leverage and interest coverage concerns. With improving global growth taking over the reins from…
Highlights Surging Covid-19 cases to unprecedented levels have unsettled India’s equity and currency markets. Worryingly, the number of new cases in India might stay exceptionally high for a while due to several potential…
BCA Research’s US Bond Strategy service recommends investors remain underweight MBS within a US bond portfolio, but favor 4% and 4.5% coupons over 2%, 2.5% and 3% coupons within the Agency MBS coupon stack. Agency MBS…
BCA Research’s Global Fixed Income Strategy service concludes that the cyclical rise in yields is not over yet. The overall flow of US economic data has been disappointing versus elevated expectations, as evidenced by…
Ultra-easy monetary policy combined with extremely stimulative fiscal policy have created a fertile environment for stocks to outperform bonds over a 12-month horizon. However, random deflationary shocks along the way are bound…
Highlights Duration: The pace of rate hikes currently priced into the market is reasonable. However, we see strong odds that market expectations will move higher in the coming months, the result of continued strong economic data and…
Highlights Chart of the WeekThe Bond Bear Mantle Being Passed To Canada? US Treasuries: The steady climb of US bond yields has left longer-maturity Treasuries in an oversold position. However, underlying growth and inflation…
The US Treasury market’s dynamics are perplexing. The S&P 500 continues to forge new all-time highs, buoyed by positive economic data showing a firming recovery (most recently: blockbuster retail sales, strong regional…