Charts of the Week
Foreigners Sold A Large Sum Of U.S. Equities In March
May 16, 2018
An overview of foreign net purchases of U.S. Treasuries, agencies, corporates and equities
An overview of foreign net purchases of U.S. Treasuries, agencies, corporates and equities
Central bank balance sheets are now large enough to own roughly one third of all bonds in the Bloomberg Global Aggregate Index.
Stock total returns since the election.
Bond total returns since the election.
Commodity returns since the election.
A look at spot and inflation-adjusted gold prices since 1900
U.S. Treasury volatility may be ultra-low, but investors have finally committed to headline inflation running above 2.0% for the first time since 2014. U.S. 10-year yields are the highest across developed economies due to improving inflation momentum. But, investors must become believers in 2.5+% headline inflation to support a Fed hoping to hike another three to four times.
Falling search trends for financial markets and news is bearish for gold.
The current tightening cycle has reached 462.5 bps, the largest on record since 1980. In other words, Powell et al may be facing a very mature hiking cycle.
Chinese holdings of U.S. Treasuries rose by $11 billion in March despite increased trade tensions.
Today's topics include Fed policy, China, consumer spending and retail sales, low unemployment, the Volker rule, 10-year Treasury yield predictions, investing for the greater good, Italy and fixing Facebook with blockchain technology.