The Fed’s preferred measure of inflation, core PCE, came in below expectations at 0.1% m/m in November, remaining steady at 2.8% y/y. The monthly advance was the lowest since May. The inflation deceleration was broad-based. Core…
Our Global Fixed Income and FX strategists published their 2025 outlook, and provide five key views for the year ahead. Duration revival: After three years of underperformance versus cash, government bonds will…
The Federal Reserve cut the fed funds rate by 25 bps to a 4.25%-4.5% range, as expected. However, it was a “hawkish cut”; the FOMC signaled a slower pace of easing ahead. The statement signalled less urgency, saying…
The November UK CPI, in line with estimates, hit an eight-month high, accelerating from 2.3% y/y to 2.6%. Core and services inflation were also strong at 3.5% (vs. 3.3% in October) and 5.0% (flat from October), respectively.…
Our thoughts on this afternoon’s Fed decision and the bond market reaction.
Our European Investment Strategy team published their annual outlook, outlining five key themes that will shape Europe’s economy and markets in 2025. Europe will enter a mild recession in H1 2025, but growth is…
The November Canadian CPI was slightly below estimates, declining to 1.9% y/y from 2.0%, below the BoC’s 2% target but within the 1%-to-3% range. The BoC’s favored core measures, median and trim, were flat at 2.6% and…
European sentiment data was mixed. The December Ifo Business Climate index for Germany missed estimates and was down 1 point to 84.7 from November. The decrease came from its expectations component, which fell to 84.4 from 87.2.…
