<Click on chart for larger image> CNBC – Here’s why ending the earnings recession is a tall order Will the first quarter be the trough in earnings? Second quarter earnings season will again see negative growth for the S&P 500, the fifth consecutive negative quarter (the worst showing 2008-2009). Earnings “bulls” are arguing that the… Continue reading More On Subpar Earnings
<Click on chart for larger image> The Wall Street Journal – Investors More Bearish on Oil Price Recovery Oil prices are up more than 65% from decade-lows hit earlier this year Hedge funds and other investors have cut their bullish bets on oil prices to their lowest in more than four months amid uncertainty about… Continue reading Bearish On Oil
BBC News – HSBC avoided US money laundering charges because of ‘market risk’ fears US officials refused to prosecute HSBC for money laundering in 2012 because of concerns within the Department of Justice that it would cause a “global financial disaster”, a report says. A US Congressional report revealed UK officials, including Chancellor George Osborne,… Continue reading HSBC Avoids Money Laundering Charges
<Click on graphic for larger image> Bloomberg Markets – We Just Saw the Largest Daily Inflow Ever to a Corporate Bond ETF A U.S. exchange-traded fund investing in corporate bonds took in more than $1 billion in one day last week, a record amount. The rise of exchange-traded bond funds is both rapid and relentless.… Continue reading Massive Inflow Into One Of The Largest Corporate Bond ETFs
<Click on graphic for larger image> AQA – Ben Brietholtz: US 30 Year Bond and S&P 500 Relationship at Extreme Looking back since 2000, the relationship between 10-day returns for the US 30 year bond and S&P 500 is at quite the extreme. The long bond posted a 10 day return of 10% through the… Continue reading Stock/Bond Correlation At An Extreme
<Click on graphic for larger image> Business Insider – Dutch bonds just did something that we haven’t seen in 499 years Dutch 10-year government bond yields dropped below zero for the first time ever on Monday, making them the latest to join the negative yield club. The Netherlands’ 10-year dipped by 0.08 percentage points to as low… Continue reading Dutch Bonds Now Negative For The First Time In 499 Years
The Financial Times – Lawrence Summers: Voters deserve responsible nationalism not reflex globalism Agreements should be judged not by how many barriers are torn down but whether people are empowered It is clear after the Brexit vote and Donald Trump’s victory in the Republican presidential primaries that voters are revolting against the relatively open economic… Continue reading Larry Summers Speaks On Nationalism vs Globalism
The Wall Street Journal – Carney Defends Bank of England Warnings Over Brexit Risks Bank of England officials defended their conduct during the U.K.’s referendum debate, saying their warnings about the potential risks facing the economy are being borne out. BOE officials including Gov. Mark Carney drew strong criticism from advocates of a British exit… Continue reading Carney Defends The BoE
Bloomberg Business – Money Managers’ Future May Depend on Machines as Growth Stalls Hedge funds have hired top technology names to boost results Money managers, faced with stagnating assets and pressure from index funds, will increasingly need to embrace computer-driven strategies to stay competitive, according to Boston Consulting Group. Technologies that were traditionally the realm of… Continue reading Rise Of The Machines
The Wall Street Journal – Democratic Party Platform Includes Call for Fed Changes Party’s previous two platforms didn’t include references to central bank Democrats also said they would “nominate and appoint regulators and officials who are not beholden to the industries they regulate.” Party platforms are mostly aspirational documents that aren’t binding on elected officials.… Continue reading Democrats Want Change At The Federal Reserve
MarketWatch – Dow soars 200 points on upbeat jobs report U.S. stocks rallied Friday as investors welcomed a surprisingly strong employment report, showing 287,000 jobs were created in June. The jobs gain in June was the largest increase since last fall and offers some reassurance that the economy has rebounded after a trend of weak… Continue reading The DJIA Last Made A New High 416 Days Ago