The sell-off in Chinese corporate bonds and the clampdown on domestic credit growth need to be seen in context: the rise in corporate bond yields will accelerate the shift from…
The breakdown of the BEA profits data released on December 22nd suggests equities are well placed to extend their rally in 2017. Strong profits in the retail sector shows how…
The prospect of faster rate hikes in the US has unnerved emerging markets in recent weeks. The low delinquency rates for US households and the higher capital ratios of banks…
The euro is being pulled lower by interest rate differentials, political risk (ISIS) and strife within Italy’s banks. It is not difficult to see the euro tumbling to the trough…
Strong growth and benign inflation will be positive for the US stock market in 2017. Core inflation slipped again in November. Bond yields will still rise as the Fed belatedly…
Investors are testing the Bank of Japan’s resolve. The yield on 10-year JGBs climbed 2.9 bps to an intraday peak of 0.089% on Monday, the highest since January 28th. The…
