Greetings,
The United States: New home sales were shockingly strong last month. This improvement will likely be reversed shortly.
Surging Treasury yields made commercial real estate much less attractive. As the economy slows, cap rate increases will be driven by lower property prices. The capitalization rate is calculated by dividing a property’s net operating income by the current market value.
The United Kingdom: Gilt yields are soaring as the market anticipates a surge in supply due to the latest fiscal stimulus announcement.
The UK rate hike expectations are now well above those in the US.
Asia-Pacific: Asian currencies have resumed their declines.
China: The renminbi drawdown has been unprecedented.
Equities: Millennials have been active traders.
The S&P 500 has only given up 1.8 years of gains so far.
Food for Thought: Lastly, let’s take a look at the oldest Congress in history.
Edited by Alexander Bowers
Contact the Daily Shot Editor: Brief@DailyShotResearch.com
