Imagine if Jay Powell said this:
"Financial vulnerabilities of the U.S. financial system are notable, and asset valuation pressures are elevated."
Impossible, right? But that's *exactly* what the Fed's own staff told the FOMC last month.https://t.co/Ur6pqEoL5W
— Brian Chappatta (@BChappatta) February 18, 2021
Junk Buyers Desperate for Debt Are Pressing Companies to Borrow [Bloomberg]
I keep thinking about the gloomy financial stability risk paragraph from the Fed's minutes.
*Risks "notable"
*Asset prices "elevated"
*Hh/Biz debt vulnerability "notable"https://t.co/pp5aFMuTa6 pic.twitter.com/4Ees2pqmWo— Jeanna Smialek (@jeannasmialek) February 17, 2021
Goldman Sachs estimates peak #stimulus in Q2 of this year. pic.twitter.com/zLSJrxIYaf
— jeroen blokland (@jsblokland) February 18, 2021
# OF RUSSELL 2000 STOCKS ABOVE 200-DAY M.A. 🏔 pic.twitter.com/LxY7Kc0M8F
— Win Smart, CFA (@WinfieldSmart) February 17, 2021
New record for investors taking "higher than normal risk" 🎲🎲 pic.twitter.com/RXANKKavm7
— Win Smart, CFA (@WinfieldSmart) February 17, 2021
2007: Bull market died with 10 year hitting 5.2%
2018: Markets croaked with 10 year hitting 3.2%
2021: Markets nervous about 10 year hitting 1.3%— Sven Henrich (@NorthmanTrader) February 18, 2021
🌎 The world’s stock of negative-yielding bonds has fallen by $3 trillion so far this year as inflation expectations rise – Bloomberg pic.twitter.com/Q0ehp76mr5
— Christophe Barraud🛢 (@C_Barraud) February 18, 2021
Related: Homeowners saw no difficulty in financing homes in 2008.
02/18/2021 04:31:39 PM
YELLEN SEES NO DIFFICULTY IN FINANCING U.S. DEBT— Really Sarcastic Investor (@RSInvestor) February 18, 2021
YELLEN SAYS UNEMPLOYMENT RATE CLOSE TO 10% IF 'PROPERLY MEASURED' – CNBC
— *Walter Bloomberg (@DeItaone) February 18, 2021
Crazy to think that initial jobless claims remain 30% above the worst part of the Great Recession.
18.3M people still claiming unemployment insurance benefits.
That is up by 2.3M people YTD.
One thing is clear:
The government cannot afford this "money party" to stop. pic.twitter.com/tT3cuNcmmQ
— Otavio (Tavi) Costa (@TaviCosta) February 18, 2021
How the Rapid Run-Up in Interest Rates Could Set Off a 10% to 15% Correction
Rising interest rates are rattling the stock market, and that could be the catalyst for a bigger sell-off, strategists say.
Here’s What’s Hiding Behind the Massive Seasonal Adjustments in January Retail Sales
In whiplash charts. For example, department store sales soared 23% “seasonally adjusted” but collapsed 42% “not seasonally adjusted.” What gives?