US yields break 3% threshold for the first time in four years
Yields on10-year US Treasuries temporarily broke through 3% last week to the highest level since early 2014. We expect rising US wage and price pressures, a more assertive Fed and a higher fiscal deficit to help yields ultimately pass this threshold on a more persistent (...)
Debt, Tech and Trade Wars Cloud the Investment Horizon
Volatility is back with a bang this year after a period of extraordinary calm. During the first quarter of 2018, the S&P 500 Index rose or fell by at least 1% in 23 trading sessions, compared to eight such sessions in all of 2017. The renewed turbulence, triggered by a (...)
Last week, equity performance resulted mixed after major indices tested a technical support and after US put/call volatility spiked up, testifying a short term surge in risk aversion. The MSCI World index’s total return fell by 0.6% (S&P 500 -1.4%) but the EMU index (...)
Russia now - should investors be bold or sit on the sidelines?
People are drawing parallels with the Crimean annexation and sanctions put in place then - which heavily impacted the Russian market. But the macroeconomic Russian situation is very different today - it is much (...)
According to Valérie Quesada and Christophe Dehondt, Rate & Inflation Manager at CPR Asset Management, 2018 is the year of the return of inflation. It returns from the United States and will be transmitted to the Euro Zone. We should see 10-year inflation expectations at (...)