Economic Insights

The economic recovery and reflation tailwinds wreaked havoc on stocks and other risk assets last week. As predicted in “Fixed Income’s year Ahead 2021: Short-Term Corporate Bonds & Legacy Non-Agency RMBS” yields at the longer end of the yield curve surged (bear steepening) with the US 10-Year Treasury reaching 1.61% (highest level in almost a year).

The inflation debate rages on. Will inflation pick up amid vaccine rollouts, fiscal stimulus, accommodative monetary policy, and federal reserve quantitative easing (QE)?

January Retail Sales Explodes Past Estimates to $568 Billion Making the Trailing 1-year $6.2 Trillion.

January Retail Sales Explodes Past Estimates to $568 Billion Making the Trailing 1-year $6.2 Trillion.

The stock market seems to be on a tear lately, a great contrast to about a year ago when the markets started to get roiled by Covid-19 developments.

The stock market seems to be on a tear lately, a great contrast to about a year ago when the markets started to get roiled by Covid-19 developments.

As we start to decipher what 2021 entails, there are increasing variances to the dynamics experienced in 2020. The positively correlated economic recovery remains in focus as coronavirus vaccine roll outs and inoculations are set to rise throughout 2021.

As we start to decipher what 2021 entails, there are increasing variances to the dynamics experienced in 2020. The positively correlated economic recovery remains in focus as coronavirus vaccine roll outs and inoculations are set to rise throughout 2021.