Hints and tips:
...More seriously, Goetzman et al argue that art price changes are largely a function of wealth concentration....
...Al-Hussainy argues that as long as they can hang on through the volatility in spreads, investors who stay near the investment-grade line in a diversified portfolio of corporate bonds are highly unlikely...
...Neither the monster national players (JPMorgan Chase, Bank of America, Wells Fargo, Citigroup) nor the regionals (PNC, M&T, et al) have had much to say about the economy’s effect on credit quality....
...They found that the standout stocks today are at much cheaper valuations than the stars of the 90s were, and while the valuations of the Magnificent 7 et al do look a lot like the “Nifties,” they tend to...
...Wherever possible lies should be told about classes of people (Republicans, elites, big business, the media, et al) not specific individuals....
...If you owned rate-sensitive, high-risk stocks yesterday you have Unhedged’s permission to sell and take the rest of the year off (Carvana, Zillow, SoFi, et al rose 10 per cent or more)....
...Email us: robert.armstrong@ft.com and ethan.wu@ft.com. Friday Interview: Bob Michele When trying to solve bond market mysteries, Unhedged has long depended on the wisdom of Bob Michele....
...The riskiest, most beat-up members of the group (KeyCorp, Comerica, Zions, Western Alliance et al) rose the most....
...Katie MartinI’m gonna go for the heroes out there that looked at the chaos in the US government bond markets after SVB went down....
...However, even more interesting (and counter-intuitive) is Rogoff et al’s failure to find a statistical correlation between real rates and fundamental economic trends....
...So maybe you buy corporate bonds that pushes corporate bond yields down....
...If there are parts of the story we’ve missed, email us: robert.armstrong@ft.com and kate.duguid@ft.com....
...al)....
...Send me your thoughts: robert.armstrong@ft.com Longer bonds At various points in the past year or two, Unhedged has noted the appeal of owning bonds at the short end of the curve....
...Email us: robert.armstrong@ft.com and ethan.wu@ft.com. Unhedged will be off Monday and Tuesday for Independence Day....
...Shares in other banks considered to have some degree of asset-liability mismatch (Western Alliance, Zions et al) only saw their shares wobble a little bit yesterday....
...Everyone expects Jay Powell et al to say “no rate increase today, but maybe in a month”....
...The recent rise of the Faangs, et al, looks like a knee-jerk reaction to the fall in rates and rate expectations that followed the banking mess (the 10-year yield has fallen from 4-ish per cent to 3.6-ish...
...However, Weinstein et al say they are excited to a large extent because those aforementioned risks are now materialising. As private credit investors, this is the environment we’ve been waiting for....
...But as Goldman’s Praveen Korapaty et al point out, the US government bond market has been pretty choppy for a while now....
...The addition of the “+” countries (Russia, Kazakhstan, Mexico et al) to the cartel have increased its market share....
...To put it more simply: Jiang et al argue there are $2.2tn in mark-to-market losses out there, and there is only $2.2tn in equity in the US banking system....
...Global bond markets continued to sell off today, with the yield on a 10-year US government bond rising to 4.88 per cent, its highest since mid-2007....
...US stocks managed to stay roughly flat yesterday, even as bond yields continued their ascent. Today, we ask how long this can go on. Send us your thoughts: robert.armstrong@ft.com and ethan.wu@ft.com....
...But as Steven Kelly of the Yale Program on Financial Stability pointed out to me, Yellen et al will need the goodwill of the big banks should some other bank or banks get into trouble....
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