By: Joel Charalambakis | On: September 4, 2016 |
Market Action The U.S. economy added 151,000 jobs in July, below expectations, and wage gains were modest. In light of recent chatter by Fed officials on the timing of rate […]
By: Thierry Malleret | On: September 1, 2016 |
August 2016 If we had to capture the mood at Jackson Hole (the meeting of central bankers) with just one word, it would be: anxiety. Despite participants putting on a brave face, there […]
By: Joel Charalambakis | On: August 26, 2016 |
Market Action Stocks fell for the second consecutive week although markets remain quiet overall. Treasuries have been in their tightest trading range in years, the VIX sits far below its […]
By: Joel Charalambakis | On: August 21, 2016 |
Market Action U.S. stocks retreated slightly from their all time highs this week. Minutes from the Fed’s latest meeting revealed a divided committee while commentary from regional Presidents this week […]
By: John E. Charalambakis | On: August 18, 2016 |
In last week’s commentary we pointed out that the accumulation of debt by corporations may be behind the market upswing (through shares buyback programs while the fundamentals do not support […]
By: John E. Charalambakis | On: August 12, 2016 |
Corporate debt is at record high. Net equity issuance has been negative for the last few years. The shares buyback pattern is simply staggering. The fact that almost 70% of […]
By: John E. Charalambakis | On: August 4, 2016 |
The extraordinary global increase in the debt-to-GDP ratio requires a growth rate of at least 4% in order for the debt to be sustainable. The unfortunate thing is that such […]
By: Thierry Malleret | On: July 29, 2016 |
July 2016 The “risky trinity” (in the words of the BIS) of (1) unusually low productivity growth, (2) historically high global debt levels and (3) remarkably narrow room for policy manoeuver explains […]
By: Joel Charalambakis | On: July 24, 2016 |
Market Action Another week of positive performance for U.S. equities comes in the midst of earnings season. So far, corporate profits have come in stronger than analyst expectations but still […]
By: John E. Charalambakis | On: July 20, 2016 |
Somewhere in the middle of the Pacific last weekend over dinner with Bob Zimmerman the lyrics of his song “A Series of Dreams” echoed in my ears. The attempted coup […]
By: John E. Charalambakis | On: August 29, 2016 |
Financial Stress, Valuations, and Realignment Risks: Is Uncertainty Looming?
The external debt of developing economies has more than tripled in the last ten years. Brazil of all countries is selling notes to yield-hungry investors that mature in 2047! Where […]