Money/Credit/Debt
Savings must either flow into domestic investment, or abroad. Saving too much, with nowhere to funnel it, is breaking China’s economic model according to our Global Investment Strategy colleagues. As China's share of global manufacturing climbed to 30%,…
The US dollar had a strong October thus far, breaching its 20-,50- and 200-day moving averages with a 4% increase and only three trading days in the red. The DXY now sits above where it was before the August selloff in risk assets. What’s behind this…
This Insight looks at the likely direction of bond yields and the dollar, from the lens of money velocity.
This Insight looks at the likely direction of bond yields and the dollar, from the lens of money velocity.
Yesterday, the ECB solidified its recent dovish tilt in response to weaker growth and decreasing inflationary pressures. It is now set to cut rates 25bps each meeting. How low will the ECB deposit rate ultimately go and what does this imply for yields and the euro?
The ECB cut interest rates by 25 bps for the third time this year, lowering the deposit facility rate from 3.5% to 3.25%. While the ECB is avoiding explicitly committing to a path for policy, President Lagarde’s repeated statement that the disinflationary…
Third-quarter earnings season has started last week for banks, with most major banks reporting earnings above expectations so far. Our US Investment strategists routinely analyze the big banks' earnings calls to gauge their views on the strength of…
Banks reported an increase in loan demand from both firms and households in the European Central Bank’s Bank Lending Survey, marking the first rise since 2022. This demand increase occurred as lending standards for firms remained roughly unchanged after two…
Our China and Emerging Market strategy teams analyzed this weekend press conference by the China’s Ministry of Finance (MoF), that provided additional details on the recently announced fiscal stimulus plan. Our colleagues view the recent announcement as…