2Y-10Y U.S. Treasury Yield Curve vs 3M-10Y U.S. Treasury Yield Curve The steepening of the 3-month/10-year U.S. Treasury yield curve suggests that the Fed’s monetary policy tightening could be slower. Image: Morgan Stanley Wealth Management
U.S. Dollar Broad Trade Weighted Index Surrounding FED Tightening Cycles Will the U.S. dollar weaken after the Fed starts tightening monetary policy? Image: Deutsche Bank
2-Year Government Bond Yield Moves in Selected Countries Bond traders expect monetary policy to tighten. Image: Deutsche 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
U.S. Federal Deficit and Balance Sheet Expansion Is the U.S. fiscal and monetary policy response to the COVID-19 crisis appropriate to ensure continued economic growth? Image: Deutsche Bank
Wave of Zombie Companies in Europe Zombie companies in Europe are back on the rise, thanks to an unprecedentedly easy monetary policy. Image: BofA Global Research
Fed Funds vs. Employment/Population + Inflation This chart suggests the optimal monetary policy, while Fed officials do not anticipate any rate hikes until 2022. Image: Oxford Economics
Fed Funds Rate Less Core PCE and Real U.S. 10-Year Government Bond Yields Chart suggesting that monetary policy is becoming too tight. Image: Danske Research
U.S. Rates and Yield Curve The inverted 10Y-3M yield curve suggests that monetary policy is becoming too tight. Image: Fidelity Investments
Dow Jones Performance Under Various U.S. Presidents This chart puts into perspective the Dow Jones performance under various U.S. presidents. The annualized return under President Trump is high, given tightening monetary policy. Image: Ryan Detrick, LPL Financial LLC
Market Performance: Q4 2018 vs. Q4 2019 Trade optimism and accommodative central bank monetary policy have contributed to market performance in Q4 2019. Image: Fidelity Investments