The central bank is propping up the economy, which will be supportive until another collapse takes hold.
Corporate earnings now have a tailwind, which is good for share prices. Although the S&P 500 is expensive based on historical valuations, if earnings can surprise on the upside, the S&P 500 can continue to perform.Trump is also president again, which means lower taxes for longer. It almost ...
Slower average hourly earnings growth in February also indicated that the labor market is decelerating. However, the drop in overall wage growth is mostly due to a decline in higher‑paying jobs. For nonsupervisory workers' wages, growth has stabilized at just under 5% at a three‑month ann...
Bond yieldsspikedlast week as investors pondered the extent of excess borrowing and increased taxes announced in the Labour government's Oct. 30 budget. That rally has since continued into this week, with 10-year yields hovering near their highest level since October 2023 following the conc...
MBS come off the balance sheet mostly through pass-through principal payments. When the underlying mortgages are paid off due to a sale of the home or a refi, or when regular mortgage payments are made, the principal portion is forwarded by the mortgage servicer (such as your bank) to the...
Top-rated corporate bond yields have edged up in tandem with Treasury yields, but low-rated bond yields have continued on a downward path as recession fears fade almost completely. AAA-rated long-term corporate bonds are yielding 4.9%; BBB-rated bonds, 5.5%; and CCC-rated bonds, 11.4%. Re...
Some labour shortages are obviously sector-specific, due to temporary or permanent shifts in activity during the pandemic (many countries are experiencing problems in sectors that closed completely, such as hospitality). But overall the size of the labour force, and participation rates, have been de...
A recession also translates to lower corporate earnings, lower economic growth and less business taxes entering government coffers. Emerging market crisis The strong dollar is causing problems among developing countries who borrow in currencies other than their own, usually dollars or euros. Developing-...
We are all “Still Waiting for “Greater Confidence” about Inflation,” just like the Federal Reserve’s FOMC. Reminds one of the movie: “Apocalypse Now” in the scene of the nightime battle on the bridge when the officer character asks the enlisted sol...
, gas and rent. “I know prices are still too high for many middle class and working families,” Vice President Kamala Harrisacknowledged in a statement, while also trying to contrast her agenda with Trump’s. The former president also has, however, made extensivepromises about cutting ...