Financial Conditions and Capital Expenditures

Financial Conditions and Capital Expenditures Easier financial conditions don’t boost capex, amid the current uncertainty over tariffs and the slowdown in global economies. Image: Goldman Sachs Global Investment Research

Effect of Financial Conditions on U.S. Real GDP Growth

Effect of Financial Conditions on U.S. Real GDP Growth Chart suggesting an improvement of U.S. real GDP growth in 2020, as the impulse from financial conditions turns positive. Image: Goldman Sachs Global Investment Research

Trade War and Financial Conditions Index

Trade War and Financial Conditions Index The trade war has tightened the Goldman Sachs FCI by about 60bp cumulatively. The Goldman Sachs Financial Conditions Index (FCI) is a weighted sum of a long-term corporate yield, a short-term bond yield, the exchange rate, and a stock market variable. Image: Goldman Sachs Global Investment Research

ISM Manufacturing Index and U.S. Financial Conditions Index

ISM Manufacturing Index and U.S. Financial Conditions Index Great chart suggesting that the ISM Manufacturing Index could be below 50 soon, and bounce back due to the drop in interest rates around the world. Image: Nordea and Macrobond

Chicago Fed National Financial Conditions Index

Chicago Fed National Financial Conditions Index Before a coming recession, watch closely the financial conditions indicator. It provides an update on US financial conditions in money markets, debt, equity markets and the traditional & “shadow” banking systems. This superb indicator is key for forecasting the future. If financial conditions tighten sharply, then it indicates a…

Financial Stress and Conditions

Financial Stress Index and Financial Conditions Index If financial conditions tighten sharply, then it indicates a coming slowdown or recession. Currently, the St. Louis Financial Stress Index and the Chicago Fed National Financial Conditions Index are at lowest and below zero. The average value of the St. Louis Financial Stress Index is designed to be zero…