The performance of the US dollar significantly diverged from relative rate spreads.
What investors should consider
The stakes are high, since the internet has been a key driver of growth and consumer welfare for the last 20 years. What are the implications if Net Neutrality is repealed?
How hedging against rising rates with credit—rather than sovereign bonds—can offer a better trade-off between liability-relative risk and return.
Bond yields remain at or near historic lows around the world, leading to a substantial increase in the value of pension plan liabilities.
Listen to previous series on a variety of investment topics, asset classes and current themes
While tariffs remain a concern, the key issue is the degree—which we deem moderate—of U.S. recession risk. The current global backdrop makes the U.S. dollar unlikely to strengthen. Earnings growth expectations are modest, valuations are undemanding
Our view over the past few quarters has been that EURUSD should be rangebound, as the cyclical outperformance of the US economy is offset by the eurozone’s relatively better balance of payments position.
David Kelly, the Fed, interest rates