<Click on chart for larger image> Barrons – A Two-Faced Indicator An indicator that some investors view as a danger sign for the stock market could turn out to be just the opposite. That indicator is the spread between two- and 10-year Treasury securities—a serviceable measure of the slope of the yield curve…The likely reason… Continue reading The Yield Curve’s Predictive Ability
The Wall Street Journal – Brexit Could Leave Economy 3.6% Smaller, Says U.K. Treasury The U.K. economy could be plunged into a yearlong recession if Britons vote to leave the European Union in a referendum next month, the U.K. Treasury said Monday, in a new analysis that gives fresh ammunition to those campaigning to keep… Continue reading Brexit
<Click on chart for larger image> Bloomberg.com – Boring Is Beautiful to U.S. Treasury Shunning Latest Bond Craze The U.S. Treasuries market is a world-beater when it comes to sheer size, depth and liquidity. Yet in one area it’s falling behind. To lock in historically low interest rates, Belgium, Canada, France, Mexico, Spain, Switzerland and… Continue reading The Treasury’s Average Maturity
<Click on chart for larger image> Bloomberg.com – Oil Traders Are Borrowing From Banks to Store Crude at a Loss Oil traders awaiting a recovery in crude are turning to floating storage after benchmark Brent prices more than halved over a span of two years, according to Morgan Stanley analysts led by Adam Longson. Unlike… Continue reading Crude’s Supply Glut
The Financial Times – The helicopter money drop demands balance Eight years after the 2008 financial crisis the global economy is still stuck with slow growth, inflation levels that are too low and rising debt burdens. Massive monetary stimulus has failed to generate adequate demand. Money-financed fiscal deficits — more popularly labelled “helicopter money” —… Continue reading The Politics Of Helicopter Money
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Comment Yesterday we hosted a conference call titled Perception Versus Reality. The mp3 replay, webcast replay and handout are below. Audio [audio:https://www.biancoresearch.com/bianco/SubscriberArea/051916.mp3|titles=Conference Call ] Webcast (download if flash video does not work below) [hana-flv-player video=”https://www.biancoresearch.com/bianco/SubscriberArea/051916.flv” width=”600″ height=”495″ description=”” player=”3″ autoload=”false” autoplay=”false” loop=”false” autorewind=”true” splashimage=”https://www.biancoresearch.com/bianco/wp-content/themes/twentyten/images/splash.jpg” /] [pageview class=”PDFViewer” url=”https://www.biancoresearch.com/bianco/wp-content/plugins/PDFViewer/plugin.php?id=297″]
<Click on chart for larger image> Bloomberg.com – The Fed Has Something to Prove to Wall Street Central bank mentions possibililty of rate increase in June Investors not convinced as economy lacks strength, HSBC says It’s hard to fault investors for being complacent when the Federal Reserve says it’s on the brink of raising interest… Continue reading The Odds Of A Hike
<Click on chart for larger image> Business Insider – There’s one key driver of inflation that’s not showing any signs of slowing down soon Inflation will continue to be boosted by one key component of consumer prices: rent. That’s according to Bank of America Merrill Lynch economists Emanuella Enenajor and Michelle Meyer. They wrote in… Continue reading Rent’s Impact On Core Inflation
<Click on chart for larger image> The Wall Street Journal – U.S. Treasury Sees Widening Yield Gap Between Older, Newer Government Debt So-called G-spread has widened modestly since 2014, but remains below levels observed in 2009 The U.S. Treasury Department is paying fresh attention to the widening divergence in yields between newer and older government… Continue reading Comparing The Old And Current Bond
<Click on chart for larger image> CNBC – History says stock market unlikely to hit a new high soon Friday is the anniversary of the S&P 500’s all-time intraday high, but don’t expect a new one anytime soon. In fact, if history is any indicator, we’re lucky to still be in the same ballpark as… Continue reading A Year Without A New High
<Click on graphic for larger image> <Click on graphic for larger image> The Financial Times – Hunt for yield sees foreign investors race into US bond funds Plunge in Europe and Asia boosts companies seeking to sell high-grade debt The demand for yield accelerated in the past week as investors piled into high-grade US corporate… Continue reading Searching For Yield