A Good Day for The Fed

by | Nov 10, 2022 | Blog, Bonds

Year-over-year, CPI rose 7.7%, down from the 8.2% pace reported the month prior and the fourth consecutive month of cooling price pressures, albeit still near a four-decade high. It rose 0.4% in October, less than the 0.6% gain expected and following a similar...

What Could Stop the Fed?

by | Nov 9, 2022 | Blog, Bonds

Newton’s First Law of Motion states that an object in motion tends to stay in motion unless an external force acts upon it. The Fed is in motion (hiking rates/QT) and until the external force (lower inflation) acts upon it, expect them to stay in motion (higher...

Thoughts on Interest Rates

by | Oct 31, 2022 | Blog, Bonds

We’ve had a number of questions regarding peak interest rates. Interest rates have of course been a hot topic in 2022… the 4th worst year for government bonds since 1721 has led to an interesting backdrop of uncharted waters. Interest rates can be confusing, and we’ve...

10-Year Treasuries Hit 15-Year High

by | Oct 24, 2022 | Blog, Bonds

Treasury yields are once again higher this morning with the 10-year Treasury hitting its highest yield in 15 years. It’s currently at 4.32% which matches yields last visited in 2007. The 10-year yield has risen since it hit an intra-day low on Monday, climbing to...

September CPI … Another Hot One

by | Oct 13, 2022 | Blog, Bonds

Another hot print with Core CPI hitting a new cycle high of 6.6% y/y, numbers summarized here:   CPI m/m: +0.4% CPI y/y:   +8.2%   (vs +8.1% exp) Core m/m: +0.6% (vs +0.4% exp) Core y/y: +6.6% (vs +6.5% exp) (vs +0.2% exp)   On a positive note, even with the...