Has the inflationary dragon really been slain?
market snapshot
Sky high
The Chicken Little1 predictions that the US Federal Reserve easing cycle would lead to an exodus of assets from liquidity products have been proven wrong. Money market funds across the industry alone have experienced inflows of around US$150bn since the Fed cut rates by 50bps in mid-September to a range of 4.75-5%. It’s another case […]
The China catalyst
Market snapshot
A falling rate environment
Video transcript In a falling rate interest environment, it’s actually on a flow basis, from an assets under management standpoint, a positive situation in the marketplace for money market funds. Despite what has been thought of from a media perspective as being a wall of cash that will start to exit money market funds in […]
The Fed fires the starting gun
market snapshot
Stocks edge upwards as looser policy looms
market snapshot
Cat on a hot tin roof
Market snapshot
School’s in session
With colleges and schools resuming, September always feels like a fresh start. The markets are studying economic data and Federal Reserve communication anew to determine when it will finally ease. In Jackson Hole, Federal Reserve Chair Jerome Powell all but promised he would announce the first cut at the upcoming policy-setting meeting on 18 September. […]
Here we go again
It should be no surprise when the financial markets get ahead of themselves. And we don’t need to be an expert at behavioural economics to know rational investors don’t exist. But that doesn’t make it any less frustrating when traders get over their skis, adding volatility and detracting from liquidity in the market. Just as […]
Shopping around: The outlook for US retail
Fast reading US consumers are still spending but are selective as they continue to seek good value for money. Revenues have been hit by soft traffic and purchasing trends as consumers look to manage spending. Companies are focusing on core brands with stronger performance, with many now relying on asset sales to delever their balance […]
