The prices of multiple financial assets have failed to break above their technical resistances. When this occurs, a breakdown ensues. In brief, global risk assets remain vulnerable. We are upgrading Chinese onshore stocks from…
US economic news has stolen the spotlight in the past several days but economic developments in the rest of the world have also been uninspiring. The JPM Global Manufacturing PMI dipped into contraction territory in July,…
The ISM services PMI surprised positively in July. The headline index expanded 2.6 ppts to 51.4, reversing May’s fastest pace of contraction in four years. Notably, the business activity subcomponent increased 4.9 ppts…
Mounting evidence that the labor market is on its way to cracking checked two more boxes on our checklist, driving us to tactically downgrade equities to underweight while upgrading fixed income to overweight. Our tactical and…
Republicans are favored but the election is still competitive. Equities, corporate credit, and cyclical sectors will fall until policy uncertainty is reduced.
Investors hope that the ECB rate cuts priced into the curve will be sufficient to achieve a soft landing in Europe. History argues against this view, but will this time be different?
According to BCA Research’s Emerging Markets Strategy service, there is little firepower left to sustain the US equity rally much further. The ratio of aggregate investable funds of US households and investment…
Total consumer credit rose by USD 11.4 billion in May (to USD 5,065 billion outstanding) from a slightly upwardly revised USD 6.5 billion increase in April, surpassing expectations of a smaller increase. Notably, revolving credit…
It’s status quo for the SIFI banks, as they don’t see consumer credit performance materially worsening from now-normalized levels and they are not meaningfully exposed to commercial real estate losses.