Commentary

Over-Exuberant Positioning for a December Rally

Last week we processed robust economic data and growing clarity on Federal Reserve policy, instilling a consensus view for a strong market that is now well reflected in positioning.

Commentary

When Will the “Bill” Come Due?

A couple of weeks ago, we wrote about how the deficit had come back into focus for the U.S. financial markets.

Commentary

Opportunities in Biotechnology Will Follow Advancements in the Science

The WisdomTree BioRevolution Fund (WDNA) is showing signs of recovery, reflecting renewed investor confidence in biotechnology innovation.

Commentary

Economic Resilience Continues to Impact Rate Outlook

This week’s data and market momentum solidified the case for a resilient U.S. economy, defying concerns of an imminent slowdown. Initial jobless claims dropped to a five-month low, reinforcing the strength of the labor market, while GDP growth projections hover around an impressive 2.5%.

Commentary

Japan Needs M&A to Change the Vibe

To judge by the action in some foreign markets, Donald Trump’s election is pricing in economic winter.

Commentary

Economic Strength Drives Jump in Long-Term Rates

Last week showcased the complexities driving markets and the economy, with inflation data, Federal Reserve commentary, and political developments at the forefront. While inflation metrics in the CPI came in as expected, the PPI surprised on the higher side, pushing up estimates for the Fed's preferred PCE inflation gauge.

Webinar

How to Approach Today’s New Rate Regime

The macroeconomic overview presents ambiguity. In the face of U.S. elections, falling rates, and a host of trends that could shape the market, investors need to find a smart approach.

Commentary

Fed Flexibility, GOP Sweep Boost Market Outlook

Last week’s developments mark one of the most pivotal weeks in recent memory.

Commentary

Fed Watch: Speed Limit 25

Following the September FOMC meeting’s much ballyhooed 50-basis point (bps) rate cut, the voting members scaled back and reduced the Fed Funds by 25 bps this time around.

Commentary

A Closer Look at the Budget Deficit

While the primary focus for the financial markets has been on the continued resilient U.S. economy and what the current Fed rate cut cycle will ultimately look like, there has been another topic that has been making the rounds in the bond arena: the budget deficit.

Commentary

Jobs Report Signals Another Fed Cut This Week

Last week's jobs report hit a "sweet spot" for the markets, confirming enough economic cooling to signal potential Fed rate cuts without yet sparking fears of a recession. I expect a 25-basis-point cut from the Fed this week and Powell may set us up for a data-dependent pause in December.

Commentary

2024 Economic & Market Outlook: The Final Stretch

Here we are, another calendar quarter down with one more to go in 2024, and investors have yet to see a “hard landing” emerge.

Commentary

Resilience Persists Amid Rate, Election Uncertainty

This week’s economic indicators continue to reflect a resilient U.S. economy despite the ongoing pressure from higher interest rates. Jobless claims dropped to 227,000, indicating a steady labor market. Durable goods orders came in strong, aligning with estimates, and GDP growth for Q3 is expected to come in between 3% and 3.25%, a robust figure by most standards.

Commentary

The Race to Fiscal and Monetary Stimulus

The U.S. election outcome is anyone’s guess, so let’s try to game out the winners and losers from the candidates’ major policy proposals.

Commentary

Strong Retail Sales and Rising Yields Signal Resilience

The latest economic data reveals a resilient economy, led by strong retail sales and a surprising drop in jobless claims. Despite some weakness in manufacturing, industrial production, and housing, overall economic strength is reflected in the projected third-quarter real GDP growth, expected to come in at a robust 3%—largely driven by productivity gains. This productivity led rebound is very positive and this confirms that despite tighter monetary conditions, the real economy remains strong.