Market outlook ‘too volatile’ to chase stock, bond rallies, asset manager says

Investors should eschew chasing recent rallies in stocks and bonds given the current economic uncertainty, according to the chief investment officer of Swiss asset manager Prime Partners. Francois Savary said it was hugely difficult to have clear economic visibility due to the particulars of the current investment cycle, such as the Covid-19 recovery and the … Read more

nonfarm payrolls, unemployment, Fed, recession

The 10-year Treasury yield rose on Friday on the back of a stronger-than-expected jobs report for July. At about 4:10 pm ET, the yield on the 10-year Treasury bond was up to 2.83%, and the yield on the 30-year Treasury bond was up 10 basis points and trading at 3.068%. Meanwhile, the 2-year was up … Read more

Markets face crucial summer week, with Fed, earnings and economic data

A trader works on the floor of the New York Stock Exchange (NYSE), June 27, 2022. Brendan McDermid | Reuters There’s a head-spinning amount of news for markets to navigate in the week ahead, the biggest of which will be the Federal Reserve’s midweek meeting. The two largest US companies — Microsoft and Apple — … Read more

Traders bet the Fed could raise interest rates by 1 percentage point this month

After June’s super hot consumer inflation report, traders in the futures market immediately began to bet the Federal Reserve could raise interest rates by as much as a full percentage point later this month. The consumer price index, reported Wednesday morning, rose 9.1% year over year, the hottest monthly reading for the number since November … Read more

Another hot inflation report, Q2 earnings make for difficult week ahead

Traders on the floor of the NYSE, June 29, 2022. Source: NYSE Consumer inflation data and the start of the second-quarter earnings season could be two catalysts that make for a bumpy ride in markets in the week ahead. PepsiCo’s earnings are the first major report of the week Tuesday, and Delta Air Lines reports … Read more

Bonds flash recession warning light as key part of the yield curve inverts again

The bond market is flashing a warning that the economy may be falling or has already fallen into recession, according to one closely watched measure. Market pros watch the spread on the Treasury yield curve, or the difference between the longer duration Treasury yields and shorter duration yields. Normally, longer duration yields, like the yield … Read more

10-year Treasury yield in focus ahead of Fed meeting

Treasury yields fell on Tuesday as investors assessed the prospect of the Federal Reserve taking the most aggressive step yet in its fight to lower soaring inflation. The yield on the benchmark 10-year Treasury note slipped around 9 basis points to 3.276%, paring gains after climbing to 3.39% and notching its biggest move since 2020 … Read more

Japan, South Korea, Hong Kong drop more than 2%

SINGAPORE — Shares in Asia tumbled on Monday, the major markets in the region saw sharp losses of more than 2% amid a tech sell-off. The Nikkei 225 in Japan dropped 2.8%, and shares of conglomerate SoftBank Group dropped more than 4%. The Topix index was lower by 2.17%. Hong Kong’s Hang Seng index also … Read more

Fed will raise rates next week, but Powell remarks may matter most

The week ahead may all come down to what Federal Reserve Chair Jerome Powell has to say at 2:30 pm ET Wednesday. Powell briefs the press following the central bank’s two-day meeting. The Fed is widely expected to raise its fed funds target rate range by a half percentage point, but hot May inflation data … Read more

Treasury yields in focus amid key inflation data

US Treasury yields popped Friday, led by short-term rates, after the release of hotter-than-expected inflation data raised concerning a possible recession. The 2-year rate jumped more than 24 basis points to 3,063%, reaching its highest level since 2008. The benchmark 10-year Treasury yield also rose sharply, last trading at about 3.16%. Yields move opposite of … Read more