I was off last week when the Fed raised rates a quarter percentage point. But I promised to comment on the Fed's action when I returned. I am doing so now.
In the past year, Italy has been a source of a lot of investor angst, with 10-year yields reaching levels not seen since 2014. Despite the simmering crisis there, I am not concerned about short- or medium-term outcomes because I believe the…
I am looking forward into 2019 at this point. And if you look at the Fed's summary of economic projections from June, you see a median projection for the fed funds rate moving from 2.4% at the end of this year to 3.1% at the end of 2019. So…
A month ago, 10-year yields were at 2.89%. And so, we were at a level that yields had been on February 20th despite two rate hikes in the intervening period. Since that time, rates have shot up 10 basis points, with the 10-year briefly…
Tesla is a completely speculative, junk-rated venture. Investors in the company are betting on Elon Musk's celebrity as a forward-thinker, hoping he can ramp up production and achieve significant economies of scale
I've talked about 12-18 between curve inversion and recession months as a rule of thumb. That gives you at least a year to rotate your portfolio and get defensive.
The yield curve has steepened to where 10-year yields exceed 2-year yields by 52 basis points. While this may seem like a case of market whiplash, it's not. It's what should be expected in a late cycle rate hike regime.
When China builds a trade surplus, it accumulates dollars. And it has to do something with those dollars. That means its purchase of US dollar assets is non-discretionary unless it revalues its currency.