BCA Research’s Emerging Markets Strategy service remains overweight Mexican financial markets relative to their EM counterparts on a cyclical and structural basis. While Mexican markets will suffer in absolute terms with…
As expected, the Bank of Canada kept its target for the overnight rate unchanged at 5% for the second meeting in a row on Wednesday. The Bank cited clear evidence of the impact of elevated interest rates on demand —…
The price of gold has rallied by 9.2% since October 5, reaching a 5-month high by Wednesday's close. Notably, this latest rally comes despite real bond yields having been trending higher for the past two weeks. Given that…
This week’s report contains an update on the Treasury curve’s recent bear-steepening trend and a look at different measures of long-maturity Treasury valuation.
China’s economic growth will stagnate, at best, rather than revive. Lower valuations of Chinese equities are justified, and share prices have more downside. The RMB will continue to depreciate versus the US dollar.
The 10-year US Treasury yield briefly moved above 5% earlier this week before dipping back down. While we can’t rule out another jump back above 5% in the coming weeks, the recent bond selloff has created a good deal of…
In this insight, we look at whether the recent data justifies a shift by the BoC, and some potential trades.
In this insight, we look at whether the recent data justifies a shift by the BoC, and some potential trades.
Europe’s weak patch is not about the ECB’s policy tightening, at least not yet. 2024 is another story, and the ECB’s policy will prompt a Eurozone’s recession around the summer.