Greetings,
United States: Short-term market-based inflation expectations are pricing in 2.1-2.3% core PCE inflation one and two years ahead.
Adjusted for COVID-related changes in spending patterns, the CPI is substantially higher.
United Kingdom: Oxford Economics expects the pound to strengthen over the next few years.
China: Stocks continue to underperform.
Renewed talk of US delistings is pressuring tech stocks.
Equities: Public pensions are heavily overweight equities.
However, private pensions returned to a more balanced 50/50 equity/fixed income mix over the past decade.
Rates: The long-bond selloff looks overextended.
Food For Thought: The US $1.9 trillion fiscal package:
Edited by Daniel Moskovits
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