Perhaps SocGen was right after all. On Monday we highlighted a note in which the bank suggested that the current environment in which stocks and bonds rally in tandem is “as good as it gets.” Of course Monday’s market moves begged to differ as stocks continued their inexorable push higher. Well on T
On Friday we noted that according to BofAML’s latest weekly flows report, every asset class saw inflows last week. Equities, loans, high yield, investment grade, and munis. It was all bid. We also observed that 50% of the bank’s clients expect the divergence between near record low Treasury yields a
Well, you can certainly tell everyone is on vacation. It’s quiet out there although we imagine there have been some loud nights in the Hamptons of late. Oil’s up (again) and that’s certainly helping the bid for risk. Ostensibly this is all thanks to Saudi jawboning and today we got some vague commen
On Friday, we looked at the extent to which the S P may be headed for its sixth consecutive quarter of falling EPS growth. That’s the longest stretch since the crisis. Nevertheless, markets are riding high, most recently thanks to the Bank of England’s kitchen sink moment (rate cut, gilt buying, cor
“We don’t see recession risk likely in the near term,” St. Louis Fed chief James Bullard said on Friday. Well, that’s great Jim but when it comes to corporate profits, the recession started four quarters ago and now, it looks set to continue into Q3 2016. We were perusing Bloomberg headlines when we
Well, thank goodness for continued strength in crude and rising expectations for global fiscal stimulus because the data dump out of China overnight was pretty disheartening and in a rational world would have probably sparked a steep selloff. Instead Asian bourses were mostly green. As for the data
Let’s pretend like you don’t care at all about the kiwi and thus have no idea what the New Zealand central bank did on Wednesday. Now, have a look at the following chart and try to surmise the reason for the sudden spike: You’d certainly be forgiven for thinking that the RBNZ hiked rates. That’s
Remember Wednesday’s rout in crude? Well, what a difference a day and a tape bomb makes. At around 9:30 this morning, Dow Jones reported the following: Saudi Arabia’s energy minister says talks with producers could include possible action to stabilize oil market, Global demand still strong; mkt reba
We’ve talked quite a bit in these pages about what drives oil prices. Our argument, generally speaking, is part common sense and part geopolitics. On the common sense side of things, there’s a supply glut. Plain and simple. You can of course parse the API and EIA data which sometimes agrees and some
