The incremental economic impact of the roughly half-percent jump in the 10-year Treasury yield this year is likely to be more than offset by the impacts of the new tax law and other stimulus being put into the U.S. economy in 2018.
The latest Weekly Market Commentary used our trademark data-driven approach to bust some popular market myths. Two that are getting a lot of attention are the yield curve and rising interest rates.
China poised to loosen policy. Chinese shares rallied about 2% overnight on signs that the Chinese government may ease some of the policies that were put in place to help manage its debt problem.
Global equities sold off Thursday and Friday after a hot start to the week, leaving stocks only modestly higher for the period.
Emerging markets (EM) is one area we contine to like in 2018 as a place to pursue alpha. As we noted in our Outlook 2018: Return of the Business Cycle, this group has solid fundamentals.
Leading indicators remains strong. The Leading Economic Index (LEI) jumped 0.3% in March, after being up 0.7% in February and 0.8% in January.
Market breadth measures how many stocks are participating in the movement of broader indexes. One of the easiest ways to measure this is via advance/decline (A/D) lines on various exchanges.
Beige Book continues to show economic strength. The Federal Reserve (Fed) released its latest Beige Book yesterday, which provides information from the 12 Fed districts on current economic conditions.