Today was a disaster for Chinese economic data. In the table below, we can see that every single data point missed consensus expectations in the wrong direction. Activity undershot expectations across the board. Data for China has been trending down for most of the year, and...
The relationship between the Japanese Yen and the spread between the US 30-year treasury yield and US 10-year yield has had a very tight negative correlation (-0.85) over the past 10-years (since 1986 when the bond spread series begins the correlation is -0.61). Since the...
Three weeks ago we mentioned how Fed assets were finally declining on a quarterly basis. Since then we have had a few more data points released and the trend is still downward....
Has any government debt market ever had such a negative yield curve as Switzerland? One-year Swiss government bonds are currently ”yielding” -114 basis points. One week ago, one-year bonds were at -38 basis points and one month ago one-year bonds were at -23 basis points....
While negative five-year yields in Germany and Switzerland has been a feature for some time, Japanese yields have up until now resisted the temptation to go negative. Today, however, the Japanese 6-year yield crossed the line into the realm of negative yields....
As of the close yesterday, the US two-year treasury yield was sitting at 61 basis points. For a little perspective, the two-year started the year at 39 basis points and hit a low in September 2011 of 17 basis points....
We noted last week that there are six European countries that currently have zero or negative year-over-year percentage change in their consumer price index. It is rare for consumer prices to fall into negative territory. Perhaps equally as rare, investors are now paying to lend money...
When it comes to safe haven investments, the world generally invests in two assets: US Treasuries or German Bunds. Recently, bunds seem to be the preferred ”risk-free” investment of choice by a wide margin which has historically been a negative signal for stocks ....
Out of the United States, China, Australia, Germany, Canada, EMU, and Japan, only China has seen their bond yields, both government and corporate, move higher over the past five years. Outside of China , government bond yields have been moving in tandem recently....
