Lagarde Pushes ECB To Shun Fossil Fuel Bonds As Central Banks Embrace "Green" Future
Later this year, the ECB will meet for a grand strategy review. Expected to be one of the most consequential policy reviews for years to come, the central bank could opt for changes to its inflation target (some doves have proposed following in the footsteps of the Fed by loosening the ECB’s inflation target) as…
Only 15% Of All Global Bonds Have A Yield Above 2%, And Only 10% Above 3%
As Deutsche Bank’s Jim Reid writes in the last edition of his Chart of the Day for 2020, one of the big market themes of 2020 has been the relentless march lower in yields. As shown in the chart below, “it’s not so much the increase in negative yields but the collapse in global bonds…
Record 41% Of European IG Bonds Have Negative Yields As ECB Buys Quarter Of All Eligible Corporate Bonds
As we showed last week (in 20 charts) while 2020 was certainly an unforgettable year for stocks, it was actually credit where the real action was – or as Goldman put it “a year like no other” – for two reasons: i) the direct injection of over $10 trillion in liquidity by central banks in…
Bonds & Black Gold Bid As Negative Nabobs Battle New Issue Nirvanans
Another day, another astoundingly exuberant bid for an IPO as AirBnB opened with one of the biggest pops ($146 vs $68 IPO) since 2008 seemingly confirming JPMorgan’s “market nirvana” argument. But, “on the other hand” – as CNBC might say – stimulus doubts and vaccine take-up uncertainty (as well as extremes in sentiment and positioning)…
Bonds & Bullion Bid As Stocks Skid On Stimulus/Vaccine Stumble
For a few brief moments today, stocks rallied to record highs and all was fixed in the world as leaked “scoops” suggested Mitch McConnell was readying a $900bn COVID Relief Bill that might just work… but then that was dismissed and algos refocused on disappointing vaccine headlines once again… 1154ET SOME STATES’ COVID VACCINE ESTIMATES…
Dollar Dump Sparks Bid For Bonds & Bullion; Pfizer Faux-Pas F**ks Stocks
Disappointing Services ISM data today along with over 20 million Americans still claiming unemployment benefits does not set up well for tomorrow’s payrolls print. Breaking down the economic data recently we see surveys (hope) starting to tumble, the labor market at its weakest since Feb, and Retail at its weakest since June… Source: Bloomberg But…
Bonds Bid, Stocks Skid As Lockdowns Loom, Stimulus Doomed
A combination of various state/city lockdown orders (on the back of Biden advisors pushing for a national lockdown for up to 6 weeks) and headlines from Washington that stimulus will be dramatically smaller than hoped for (if at all), sent all the major US equity indices lower today. Small Caps were hit hardest but as…
Momentum Massacre Trounces Tech Stocks; Bonds Drop, Bullion Pops
Since the Pfizer vaccine headlines hit, markets have gone just a little bit slightly turbo with Small Caps up over 4% and Mega-Cap tech down almost 6%… But don’t overdose on all that exuberance… Nasdaq found support at its Zero Gamma level once again… This is the biggest two-day surge in value over growth in…
COVID ‘Cure’ Creates Chaos: Tech Wrecks, Bonds Bloodbath, Momo Massacred
Monetary stimulus, election certainty, and now a vaccine – Buy, Mortimer, Buy!!!! Small Caps were limit up in the pre-market as everything exploded on Pfizer’s headlines… Nasdaq ended red, with markets tumbling late on as Trump challenge concerns picked up… That was an all-time record high for the Russell 2000, Dow, and S&P 500. Dow…
Despite Tech Tumble; Stocks, Bonds, Gold, & The Dollar Rally On Election Eve
As Asia closed and Europe opened, US equity futures were panic bid up 400-plus Dow points overnight, clung to gains into the US cash open when Nasdaq was dumped and Small Caps pumped along with The Dow. Last minute buying panics ramped Nasdaq barely into the green… Weakness in Nasdaq was driven by the mega-tech…