More From Jeffrey Rosenberg
Why a September Rate Liftoff Seems Likely
Atlanta Fed president Dennis Lockhart recently stated that it would take “significant deterioration in data” for him to reject the idea of a September rate hike.
Where Can You Find Relative Value within Fixed Income?
Where’s the relative value within fixed income? High yield bonds appear relatively attractive.
Inflation Is on the Horizon despite Low Headline Figures
TIPS give investors a hedge against inflation, like gold and other commodities. This protection, however, comes at the cost of lower coupons.
Is US Economic Growth Converging with European, Japanese Growth?
Last year, US economic growth was the only bright spot among developed markets (EFA). Its GDP grew at an annualized rate of 4.6% in 2Q14, 5% in 3Q14, and 2.2% in 4Q14.
Where Are Opportunities in the Current Economic Environment?
There are still pockets of value in US markets. Investors can look to the financial and technology sectors for opportunities in the current economic environment.
Why the Gloomy GDP Estimate Is Not Cause for Panic
There are several reasons why the gloomy GDP estimate is not cause for panic. The slowdown in GDP growth seems to be a temporary setback.
Why the US Economy Stalled in 1Q15
The US economy stalled in 2014 for several reasons, including seasonality, weather, strength of the dollar, the West Coast port strike, and the oil price slump.
Why Did the German 2s30s Spread Dip on Quantitative Easing?
The 2s30s spread is the difference between the yield on the 30-year bond (TLT) and the yield on the two-year bond (SHY).
Why Markets Expect More Reforms In Europe
QE in Europe could help European stocks. The ratio for European stocks has already run up to 20.5x from 18.0x at the start of the year.
Quantitative Easings Led to Spread Compression in European Bonds
The European Central Bank on Thursday, January 22, delivered basically what the market expected for QE (quantitative easing).
Plunging Oil Causes Turmoil In High Yield Bond Markets
The turmoil in high yield bond markets has left more than 18% of junk bond issuers at distressed levels. Investors should avoid the scary junk bond segment.
Who Are The Lower Oil Price Winners?
According to estimates by Barclays, the industry could save up to the tune of $10 billion in fuel costs, making airlines lower oil price winners.
How The Rising Dollar Is Causing Oil Prices To Fall
A rising dollar has and will continue to put downward pressure on oil prices, causing trouble for the energy sector (XLE).
The Falling Demand For Oil, Impact On Prices
With China in a less oil-intensive stage of development, the demand for oil could stay low for a while.
Drop In Oil Prices: Economic Implications
The drop in oil prices is affecting the global equity markets (QWLD). The S&P 500 (SPY) also declined by 3.5%, the worst weekly decline in two years.
Why Long-Dated Bonds Underperform When Rates Rise
Long-dated bonds underperform when interest rates rise. On the other hand, high yield bonds perform better than Treasuries when interest rates rise.