Equities: US stock market volatility continues to moderate amid signs of investor complacency.
– The S&P 500 daily trading range:
– Speculative accounts are pressing their short VIX bets. (VIX is a measure of the market’s expectations for volatility)
Source: @AndreasSteno; Read full article
Additionally, the S&P 500 climbed last week, but the 5-year Treasury yield responded with only a 2 basis point increase off its low. Stock and bond investors’ views on market risk have diverged.
Credit: The US investment-grade market quality has been deteriorating since the recession, as lower-rated debt issuance dominates.
China: Uncertainty remains elevated.
The United States: The US has been supporting global growth through the recent slowdown. It appears that a rebound in the world economy will soon become a tailwind for the US.
Global Developments: JP Morgan’s populist sentiment index is rising again, driven by the runup to the 2020 US election.
Food for Thought: Nations most indebted to China:
Edited by Devon Lall
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