The Wall Street Journal – OPEC Oil Deal is Likely, Officials Say Comments come ahead of a summit to approve a final output deal next week OPEC officials said Tuesday they were close to agreement on the outlines of a production-cut deal, but warned there were sticking points to be resolved next week when the… Continue reading OPEC On … Again
<Click on chart for larger image> The Financial Times – Eurozone inflation expectations climb to 11-month high A measure of market inflation expectations in the eurozone has hit its highest level since January, somewhat helping to allay fears that a rise in prices in the single currency area is still not self-sustaining. The five-year five-year… Continue reading Rising European Inflation Expectations
The Wall Street Journal – Cash and Kashkari The consensus grows that Dodd-Frank won’t stop the next financial crisis. As President Obama prepares to leave town, the world is learning that his reforms aren’t holy writ. The latest evidence is Minneapolis Federal Reserve President Neel Kashkari’s plan to end too-big-to-fail banks. Mr. Kashkari, who rolled… Continue reading Dodd-Frank
Reuters – Euro zone nations turn to hedge funds to meet borrowing needs Euro zone governments are increasingly relying on hedge funds to help them meet their borrowing needs, which risks leaving them vulnerable to a debt market sell-off driven by a class of investors dubbed “fast money” for their speculative approach. With banks playing… Continue reading Fast Money Funding For Eurozone Countries
<Click on graphic for larger image> The Financial Times – French Republicans on course for narrow victory after Sarkozy defeat – analysts Farewell Sarkozy, we hardly knew ye. The surprise ejection of former French president Nicolas Sarkozy from the first-round of his party’s run off to be presidential candidate should help his Republican party overcome the… Continue reading More On The French Elections
<Click on graphic for larger image> The Wall Street Journal – America First? That Puts Emerging Markets Last Currencies and shares in developing countries have taken a hit since Election Day, and Trump’s version of making America great could keep them down In the two weeks since Election Day, markets have bought into President-elect Donald… Continue reading Emerging Market Flows
<Click on graphic for larger image> Vox – Ticket splitting is dead. National parties are now everything Every single state that elected a Republican senator this November voted for Donald Trump — and every single state that elected a Democratic senator voted for Hillary Clinton. That’s a first in American history — at least going back… Continue reading No More Ticket-Splitting
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The Financial Times – Political populism: Is Italy next? A rejection of Renzi’s reform plans in a referendum risks toppling the government There is no place in Italy more associated with the rise of Matteo Renzi than the Leopolda, a disused 19th century railway station outside the centre of Florence. Seven years ago, the Italian prime… Continue reading First Brexit, Then Trump. Is Italy Next?
Factset – Earnings Insight for November 18, 2016 Earnings Scorecard: As of today (with 95% of the companies in the S&P 500 reporting earnings for Q3 2016), 72% of S&P 500 companies have reported earnings above the mean estimate and 55%of S&P 500 companies have reported sales above the mean estimate. Earnings Growth: For Q3… Continue reading Earnings Update
<Click on graphic for larger image> Bloomberg.com – Bond Traders Sound Inflation Alarm Amid Worst Rout Since 2001 Ten-year breakeven rate reaches highest level since 2015 Long end of yield curve is ‘dangerous’: BlackRock’s Rieder The rout in the fixed-income universe deepened into the worst in 15 years as traders sounded the alarm on inflation amid speculation… Continue reading Inflation Expectations
The Wall Street Journal – Investors Withdraw $8.2 Billion From U.S. Bond Funds After Trump Victory In the week after Donald Trump’s U.S. election victory, investors pulled more cash out of U.S. fixed-income funds than at any time over the last three years, in one early sign that the recent bond selloff may have legs. Big selloffs in… Continue reading Treasury Bond Fund Flows