Wall Street’s favorite adage, ‘climb a wall of worry’, may soon be put to test. Following the powerful equity market rally of the past two months, investors face unanswered questions regarding sustainable pandemic control, growing unemployment, an uncertain economic recovery, uneven corporate profitability, heightened default risk, opaque policy responses and record valuations. Continue Reading
Alongside the US Memorial Day holiday, we explore the latest high frequency indicators of global economic activity. Our aim is to provide a snapshot of the collapse in economic activity, and also to see whether and where a bottom may be forming. Continue Reading
Markets dipped this past week. Might this signal the end of the recent rebound? Or is it merely a pause, with further gains to come? Continue Reading
Humankind has never had a more urgent task than creating broad immunity for coronavirus. Realistically, if we’re going to return to normal, we need to develop a safe, effective vaccine—and we need to do it faster than we’ve ever developed a vaccine before. Continue Reading
Mental health is a huge problem in the United States. About one-fifth of all Americans grapple with psychological disorders, and only half of them get treatment. Continue Reading
This past week equity markets continued their impressive recovery from their Covid-19 lows. Continue Reading
Are you feeling cooped up, stir-crazy? No wonder – even after 400 generations in villages and cities, we are still nomadic wanderers at heart. Here is a brilliant short-film to inspire you for the days when we can journey again. Continue Reading
Markets recovered strongly in April. US equities enjoyed one of their best months since the 1930s, credit markets stabilized, and even depressed crude oil prices rebounded sharply. Continue Reading
As we move into the last week of April, market jitters appear to have begun to subside. Even oil prices recouped some of their dramatic declines. Continue Reading
Global equity indices continue to recover. Much of the related commentary concludes that investors are heartened by signs of pandemic curve-flattening and hopes that economic activity can resume more quickly and broadly than previously assumed. Continue Reading
Last week, markets rebounded. Major equity indices have now recouped half their losses from their Covid-19 driven lows. Continue Reading
Investors ought to be wary of overstating the economic and market benefits of pandemic curve flattening. Continue Reading
The pandemic remains the sole driver of global markets. That reality makes fundamental analysis difficult, if not impossible. Continue Reading
Today, it is tempting to jettison conventional thinking about asset prices and their relationship to the fundamentals. Continue Reading
This morning, March 18th, global equity markets are again in steep decline, despite the stepped up fiscal and monetary commitments announced in the past few days. Although the policy steps to address the pandemic and its economic consequences are becoming more realistic, they are likely not enough to stabilize markets for two reasons. First, few… Continue Reading
Public policy is now moving on two fronts: containing the pandemic and offering economic stimulus. But will that be enough to draw support financial markets? Continue Reading
Global risk assets had another tumultuous week, responding to the spread of the coronavirus, paltry efforts to mitigate its economic fallout, and Biden’s ’super Tuesday’. Continue Reading
Global risk assets sold off heavily last week on concerns that the coronavirus pandemic may significantly dent growth and corporate earnings. Global equity indices suffered their largest weekly losses since the financial crisis. Continue Reading
Markets have suffered a hiccup in recent days, with stock prices dipping at the end of the past week. Long-term interest rates are once again moving lower. Continue Reading
This was the week when markets began to succumb to worries about the spread of the coronavirus. Continue Reading