The ‘Inverted Yield Curb’ Explained

The ‘Inverted Yield Curb’ Explained

Traders and investors have been asking what is the “inverted yield curve”, this unusual bond market phenom came on briefly last week for the 1st time in over 12 years and shook Wall Street with talk that an economic downturn was imminent. Following a tweet from President Trump referencing the “CRAZY INVERTED YIELD CURVE!”, the […]

Stocks Rallied in Broad-based Advance

Stocks Rallied in Broad-based Advance

$DIA, $SPY, $QQQ, $RUTX, $VXX This week’s trade has been headlined by the yield-curve inversion theory, where the yield of shorter-dated debt rises above its longer-term counterpart. On Wednesday, the yield 10-yr T-Note rate briefly fell below the 2-year T-Note a condition that has sometimes been a recession indicator. The degree to which investors have crowded […]

Tame Producer Inflation Supports Case for Another Fed Rate Cut in September

Tame Producer Inflation Supports Case for Another Fed Rate Cut in September

US producer prices increased moderately in July, lifted by a rebound in the cost of energy products, while underlying producer inflation retreated, which could allow the Fed to cut interest rates again next month. The benign inflation report from the Labor Department on Friday could boost expectations for a half-percentage-point cut at the Fed’s 17-18 Sept. policy […]

President Trump, “Fed Behind Market Turmoil, Not Trade War”

President Trump, “Fed Behind Market Turmoil, Not Trade War”

$DIA, $SPY, $QQQ, $RUTX, $VXX Wednesday, President Trump targeted Fed policy as the reason for this recent market turmoil. In raising interest rates 4X last year “the Federal Reserve acted far too quickly, and now is very, very late,” in reversing itself and cutting borrowing costs, President Trump tweeted. “Too bad, so much to gain on […]

Trump Victory Augurs US Banks Enhanced Profitably

Trump Victory Augurs US Banks Enhanced Profitably

Trump Victory Augurs US Banks Enhanced Profitably $XLF US President Elect Donald Trump has greatly enhanced the outlook for US bank profitability, as he is laying the foundation for a steeper yield curve and financial deregulation. Recognizing this, investors are acting with record 1-day inflows of more than $2.1-B into the Financial Select Sector exchange […]