investing

It is now patently clear that US equity and corporate bond markets are overvalued. Much of the overvaluation has to do with low discount rates and the risk-on signal easy Fed policy has sent investors for over five years. Yet again, signs…

Market based information is telling us that spreads and leverage are now disconnected, fundamentals remain in-line with theory. Companies with higher net debt also have poorer liquidity positions.

Treasuries once again experienced what amounts to a sharp curve flattening in recent days. The market action resembled what took place after the initial announcement of taper back in December. The yields in the "belly" of the curve have…

Sanctions because of the Crimean crisis have had less economic impact than private portfolio preference shifts. However, as Ukraine moves into the EU sphere, further actions against Ukraine could be more far-reaching. China has moved…

Remember that the rest of the world has so far accepted the experiment that is Abenomics not only because Japan has been running a current account deficit (thus making it more reasonable for Japan to weaken its currency), but also because…

By Marc Chandler - This week, investors should brace for a re-escalation of tensions in Crimea and China - There are four sources of heightened tensions with the Crimean crisis - Weekend news from China played on fears that the yuan is…

Capital outflows from Russia seem to be picking up steam. These outflows - combined with the central bank's "weaker ruble" policies and the Ukrainian tensions - are all fueling the ruble sell-off. The ruble resumed its slide this week,…

Themes for today: The US faces political constraints in a cyclical downturn that will limit government response The US private surplus is under assault Europe is improving and upgrades to bank stocks are bullish The Fed tends to…

There is mounting evidence, from valuations being paid in M&A deals, junk bond yields, margin debt and price extensions from long term means, "irrational exuberance" is once again returning to the financial markets. However, that does…

We are seeing broad improvements across global commodity markets. To be sure, commodity valuations are still at depressed levels relative to the past decade, but after a prolonged decline, broad indices seem to have stabilized.