by John Luke Tyner | Dec 21, 2022 | Blog, Bonds
Bank of Japan (BOJ) Finally Flinched BOJ made a decision to double the trading band of the 10-year Japanese government bond. We believe the move is justified. It may mark the start of a gradual shift away from the strict bond yield controls emblematic of...
by John Luke Tyner | Dec 13, 2022 | Blog, Bonds
The CPI report came in softer than expected again in November. Core saw the smallest increase since Aug 2021. Core goods were down -0.5% (weakest since April 2020) and core services rose by 0.4% (smallest increase since July of this year). Headline CPI was also below...
by John Luke Tyner | Dec 8, 2022 | Blog, Bonds
Fed chair Powell (and many other FOMC members) have made it clear that as of today, the Fed intends to: Slow down the pace of hikes Reach a higher peak rate than it thought in September Stay at peak for longer than normal How long will policy remain...
by John Luke Tyner | Dec 1, 2022 | Blog, Bonds
Powell’s comments and the market response yesterday were noteworthy. The equity market rose (SPX +3.05%) while bond yields rallied across the yield curve following Powell’s Brookings Institute presentation. The market was positioned for a hawkish speech and...
by John Luke Tyner | Nov 22, 2022 | Blog, Bonds
Where Does the Terminal Rate Need to Go? Source: Bloomberg. As of 11/18/22. It’s pretty clear the pace of rate hikes will slow down soon, although we believe we are far from returning to the easy money policy experienced the last 10+ years. Given the...
by John Luke Tyner | 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...
