Search Results for: bank

Percentage of Time Inflation Below the Central Bank’s Target Is inflation targeting by central banks an effective monetary policy strategy? Image: Deutsche Bank

Central Banks – Quarterly Pace of Fed, ECB, BoJ, BOE Net Purchases (Quantitative Easing – QE) The pace of global central bank purchases is expected to turn negative in Q4 2022. Image: BofA Global Research

Implied Equity Allocation by Non-Bank Investors Globally Investors are overweight global equities. Image: J.P. Morgan

Central Bank Liquidity and “Big Tech” Market Capitalizations The expansion of central bank balance sheets tends to push big tech stocks higher. Image: BofA Global Investment Strategy

S&P 500 and U.S. M2 Minus Bank Credit (Leading Indicator) U.S. M2 minus bank credit tends to lead the S&P 500 by 6 months. Image: Alpine Macro

Bank Loan Flows Bank loan flows are slowing but remain positive. Image: BofA Global Investment Strategy

Federal Reserve Bank of New York Weekly Ecocomic Index and U.S. 10-Year Treasury Yield While the U.S. 10-year Treasury yield tends to follow the direction of macroeconomic indicators, it has decoupled from fundamentals. Image: Morgan Stanley Wealth Management

Euro Area and U.S. Inflation and Central Bank Forecasts The Fed projects U.S. inflation well above 2% into 2023. Image: BlackRock Investment Institute

Valuation – S&P 500 Index vs. S&P 500 Bank Index – 12-Month Forward Price/Earnings Ratio Banks still look cheap relative to the broad market. Image: Morgan Stanley Research

Major Central Bank Balance Sheets Major central bank balance sheets have expanded considerably during the coronavirus pandemic. Is the sky the limit? Image: Lohman Econometrics