Bond yields largely steady following Wall Street’s best day in nearly a month

bonds

Bond yields were little changed on Thursday from the previous session, with most trading around just one basis point lower as investors digest Wednesday’s market gains, which gave Wall Street its best day in nearly a month. The yield on the benchmark 10-year Treasury note was down 1 basis point at 3.25% at around 5:40 a.m. ET. The yield … Read more

Bonds & Gold Bid As PMIs Send Rate-Hike Odds Plunging

bonds

This morning’s PMIs – full of recessionary indications, forward-looking pessimism, and deflationary signals – appear to have been the straw that broke the camel’s back of hawkish expectations. Rate-hike expectations have tumbled notably and subsequent rate cuts are hovering at 75bps… Source: Bloomberg Specifically, the odds of 75bps rate hikes in July and September are … Read more

The 1970s Bear Market Analog Looks Intact

Nasdaq bear market

That ’70s Show In the wake of Friday’s soaring CPI print and Bank of America strategist Michael Hartnett’s latest note (“A Dire Outlook From Wall Street’s Biggest Bear”), it’s worth revisiting the ’70s bear market analogue he sketched out last month, and how that has panned out so far.  As ZeroHedge summarized it at the time, [For] Hartnett, the … Read more

Eurozone Nightmares

US Dollar dominates as inflation heats up scaled

Inflation is running well in excess of interest rates. Heck, the ECB have them set at negative. The ECB’s NIRP policy and its policy of buying not only government bonds and housing bonds, but large amounts of corporate bonds (echoed by other central banks in Europe that had similar programs) have created the greatest corporate … Read more

Get ready for $900 billion of stock purchases this year, says Goldman Sachs. Here’s who’s buying.

$900 billion of stock purchases this year

Wall Street is looking a little less surefooted as a new week begins, with oil sliding as fresh COVID lockdowns in China adding to a hefty worry pile. Bonds continue to slump as well. But maybe don’t bet against stocks, which have been regrouping since an early March pullback. “‘Less bad than feared’ is a … Read more