The Wall Street Journal – After 100 Days of Trump Presidency, Advisers Say Client Worry Has Eased ‘No one is telling me, “I’m afraid of Trump,” at this point, as far as their investments go’ In the aftermath of Republican Donald Trump’s surprise presidential election victory and the run-up to his inauguration, many wealth managers… Continue reading Interpreting Market Chatter In The Trump Era
The Verge – Twitter will stream 24-hour news from Bloomberg starting this fall Twitter will partner with Bloomberg as part of its plans to stream live video 24 hours a day, The Wall Street Journal reports. The deal will see Bloomberg producing news programming specifically for Twitter, mixing live news reported from Bloomberg’s global bureaus… Continue reading Twitter To Stream 24-Hour Bloomberg Feed
The Wall Street Journal – Renaissance Feud Spills Over to Hedge Fund Poker Night Executive David Magerman says he had hoped to repair frayed relationship with Mercers Mr. Magerman hit his own losing streak. Around 10:30 p.m., after he consumed several glasses of 12-year-old scotch, Mr. Magerman left the tournament. He decided to watch others play,… Continue reading Life Imitates Art
Federal Reserve Bank of San Francisco – A New Normal for Interest Rates? Evidence from Inflation-Indexed Debt Some have argued that Treasury yields have been pushed down by lower longer-run expectations of the safe, short-term real interest rate—that is, by a drop in the so-called equilibrium or natural rate of interest. We examine this possibility using… Continue reading Inflation on the Up Swing, but Markets Unsure it Continues
The Wall Street Journal – Rob Arnott, ‘Godfather of Smart Beta,’ Tells Investors: You’re Doing It Wrong In series of papers, investing pioneer casts doubt over merits of momentum strategies, valuations of low-volatility funds The “godfather of smart beta” is having fresh doubts about how some on Wall Street are using the increasingly popular passive-investing… Continue reading Talking ETFs
Bloomberg – Why Some Investors Are Betting the High Yield Party Is Over The torrid romance that doubled the global junk-bond market to $2 trillion since 2010 is losing the spark for a handful of investors, just like the supposed tendency to infidelity after years of marriage. High-yield bond funds suffered $10.5 billion of outflows last month, the most… Continue reading Is the High Yield Party Winding Down?
The video above offers a quick explanation of the divergent views by bonds and equities regarding growth and its impact on investor flows. We will be providing similar media in the future to bring additional color to our analysis. Bloomberg – Yes, the Stock and Bond Markets Can Both Be Right It is the Fed’s reaction… Continue reading Stock and Bond Markets Have Very Different Expectations
The Wall Street Journal – U.S. GDP Rose 0.7% in First Quarter The U.S. economy’s output grew at the slowest pace in three years during the first quarter, underscoring the challenges facing the Trump administration as it seeks to rev up economic growth. Gross domestic product, the broadest measure of goods and services produced in… Continue reading Market Capitalization As A Percentage Of GDP
Comment Earlier this week Jim Bianco was interviewed by Financial Sense News Radio. To listen to the interview, click below.
The Financial Times – The market’s risky bet on stability Selling insurance against future turbulence has moved beyond being a niche trade Betting against bouts of market turbulence comes in many shapes. Volatility carry essentially consists of systematically harvesting an insurance premium from investors willing to pay up for protection through derivatives known as options.… Continue reading The ‘Short Volatility Party’ is Growing to Epic Proportions
The Economist – The wars of independence: How to preserve the benefits of central-bank autonomy Twenty years after the Bank of England was given independence, the powers of central banks are in the spotlight The case for central-bank independence is as powerful as it was two decades ago. Interest rates need to be changed well… Continue reading Central Bank Independence