The market has been held hostage by surging rates. Zombie companies are “alive” and are multiplying – they are highly sensitive to surging borrowing costs. Underweight Utilities to reduce portfolio duration. Maintain neutral…
An update to our US bond strategy following this morning’s employment report.
The results of the Bank of England’s latest monthly Decision Maker Panel survey reduces pressure on policymakers to tighten further. Business expectations regarding output price inflation over the coming year fell from 5…
As expected, the Reserve Bank of New Zealand held the official cash rate at 5.5% on Wednesday, keeping policy unchanged for the third consecutive meeting. The press release underscored that while monetary policy is weighing on…
Our Global Investment Strategy service’s MacroQuant 1.0 model – which is calibrated to produce recommendations over a 30-day investment horizon – is currently overweight equities and underweight bonds and cash…
BCA Research’s US Bond Strategy service recommends a barbelled allocation across the Treasury curve. The Treasury curve bear-steepened in September. The 2-year/10-year Treasury slope steepened 32 bps on the month and…
There is a connection between the bond market meltdown and Republican Party’s meltdown. Investors should expect more short-term financial market volatility as a result of the triple whammy of high bond yields, high oil prices, and a…
We unveil the ‘Joshi rule’ real-time recession indicator as a much better version of the Federal Reserve’s own ‘Sahm rule’. And we identify what would trigger these recession indicators in this week’s and future US jobs reports. Plus…
The Australian dollar was among the worst performing major currencies on Tuesday after the Reserve Bank of Australia held the cash rate at 4.1% for the fourth consecutive month. In her post meeting statement, newly appointed…
We present our Portfolio Allocation Summary for October 2023.