interest rates

Shares are down today as the FANG stocks retreat due to investor concern about growth companies in a period of rising rates. This is only a one-day impact though. The question is whether the caution regarding riskier assets will endure. No…

The latest monthly report on the employment situation in the US saw the unemployment rate dip to its lowest level since 1969. While the addition to non-farm payrolls was below expectations, upward revisions to prior months made this a very…

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…

There was a slew of PMI data released yesterday. And the ISM released it's manufacturing numbers for the US as well. Almost all of the data were bullish and supports the idea that this economic expansion has legs for the rest of 2018 and…

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…

Back on March 1st, I told you to think of "Lael Brainard as the catalyst for Fed regime shift". Here's why: Back in late 2015, she and Fed Governor Dan Tarullo expressed caution about raising interest rates. And as the Fed increased the Fed…

"As much as I would like to buck the bearish sentiment, I continue to see EM as an underweight, in currencies, bonds and equities." That's how I ended the last post. Yet, at the same time, even as crisis deepens in the emerging markets,…

Short-term and long-term interest rates in the US have overtaken those in Australia for the first time in a number of years, with the Reserve Bank of Australia predicted to be on hold for another two years. This makes funding via US…