Hints and tips:
...Stocks and bonds were both higher on Thursday, with the S&P 500 up 1.2 per cent while yields on rate-sensitive two-year Treasuries hovered around three-week lows at 4.52 per cent....
...Trump has been quick to claim credit for stock markets’ recent strong performance, telling supporters that the market “goes crazy” every time he does well in polls....
...I don’t think that’s the base case,” Powell said in comments that prompted traders to slash their bets on a cut this spring and sent stocks sharply lower....
...But after more than half a year of steady falls for stocks traded in Shanghai and Shenzhen, any such rally is unlikely to last for more than a few days....
...The S&P 500 gained 1.1 per cent on Friday to a record high as a surge in tech stocks helped the market shrug off the change in interest rate expectations....
...The market move after the meeting reflected that too, as stocks fell, Treasuries rallied and traders reduced the odds of a March rate cut, which fell from 60 per cent to about a third....
...Instead, it comes from mispricing: heavy emitters systematically beat earnings expectations, leading to stock price increases....
...After the end of a two-day policy meeting on Wednesday, Fed chair Jerome Powell said slowing down the central bank’s rate increases “is giving us a better sense of how much more we need to do”....
...In response, US government bond prices flew higher, while stocks pushed ever closer to a record high....
...Together, this brought joy to Wall Street, with stocks rallying and government bond yields falling....
...Also, asset markets — housing and stocks — are still elevated....
...The two-year Treasury yield fell 12 basis points, stocks rallied and the dollar weakened — all loosening financial conditions. The market may be getting a bit ahead of itself....
...Stocks also rallied, with the S&P 500 ending the day up 0.6 per cent at 4,594.63, its highest close since March 2022....
...US stocks and government bonds extended their losses on Thursday after Powell’s comments, with the benchmark S&P 500 closing down 0.8 per cent....
...Absorbing these numbers, and Powell’s tone at yesterday’s press conference, stocks drifted down and short-term Treasury yields rose....
...This framing did more than jolt markets and trigger a large sell-off in stocks and bonds. It propagated a “pain narrative” that many media outlets employed as a benchmark....
...Markets are looking for signals from Federal Reserve chair Jerome Powell during this week’s Jackson Hole symposium, global stock markets have lost about $3tn in value this month and there has been a mixed...
...to 5.07 per cent following Powell’s remarks, while the benchmark 10-year US Treasury yield added 0.01 percentage points to 4.25 per cent.Equities swung between small gains and losses, with the S&P 500 stock...
...Markets were little changed by the Fed’s decision, with US stocks and Treasury yields both slightly lower on the day....
...By then, said Powell, the Fed could take stock of three months of economic data as well as the “evolving risk picture”....
...We can’t pretend that a company that only has free cash flow before stock-based comp is really cash flow-positive....
...So tweeted Jérôme Kerviel, the notorious rogue trader who brought his then employer Société Générale to its knees back in 2008....
...Large fluctuations in stock and bond markets certainly seem incompatible with the goals of increasing predictability and reducing uncertainty....
...(Ethan Wu) Against bank stocks (and their dividends) A few days ago we pointed out that bank stocks seem to be particularly risky: they are highly leveraged, vulnerable to runs, face systemic risks, and...
...A common target of Trump’s missives was a then-fresh-faced Federal Reserve chair called Jerome Powell. Trump wanted Powell to cut rates, and wasn’t shy about saying it....
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