Search Results for: policy easing

Fiscal Policy Easing Response to Coronavirus Crisis The U.S. fiscal response to the coronavirus crisis is massive. Image: Goldman Sachs Global Investment Research

Global GDP Growth Outlook – Trade Tensions vs. Policy Easing The escalation of trade tensions is a risk to the global economy outlook. Image: Morgan Stanley Research

Fiscal Policy – Discretionary Fiscal Easing in Response to Coronavirus Crisis This chart puts into perspective the U.S. fiscal stimulus relative to other countries. Image: Goldman Sachs Global Investment Research

Interest Rates – Central Bank Policy Rate Hikes vs. Cuts Emerging market central banks typically take the lead in initiating monetary tightening and easing cycles. In 2024, their approach has shifted away from aggressive easing. Image: BofA Global Investment Strategy

Median Policy Rate Projections in the Fed’s Summary of Economic Projections The anticipation of rate cuts in 2024 and beyond is generally viewed as bullish for equity markets, as it signals a potential easing of monetary policy that can support economic growth and stock prices. Image: BofA Global Research

Interest Rates – Policy Rate Cut vs. Policy Rate Hiked Global rate hikes are increasing. Should investors expect more rate hikes to come? Image: Bloomberg

Emerging Markets Monetary Policy vs. Economic Cycle (Leading Indicator) Chart suggesting that EM monetary policy easing is likely to increase economic activity in the coming months. Image: Topdown Charts

U.S. 10-Year Treasury Note Produces Extremely High Sharpe Ratio During Shifts to Easing This chart shows the high sharpe ratio of U.S. 10-Year Treasury Note during easing policy shifts. Image: Arbor Research & Trading LLC

Fed Monetary Policy Rate Change over 6 Months Prices in (Futures) vs. Actual Actually, the Fed decides when to raise rates, but the market decides when to cut rates. This chart shows that rate expectations are highly predictive six months in advance. You may also like “Markets Have Accurately Priced in Cuts before Easing Cycles…

Markets Have Accurately Priced in Cuts before Easing Cycles Begin Orange lines mark days when markets priced in a rate cut. In recent history, it occurs between 33 and 281 business days before fed cut. The average is 120 business days. So, the Fed’s rate cut could take place in September 2019. You may also…