Global Markets

Markets now face a tougher trade-off as resilient growth supports earnings while sticky inflation and higher rates raise the bar for risk assets.

Sticky inflation and a worsening oil supply shock are pushing global markets towards a broader tightening cycle.

Strong US growth, an energy-driven inflation shock and rising global bond yields are keeping markets resilient but increasingly vulnerable to a renewed round of central-bank tightening.

Strong AI earnings are supporting markets, but sticky inflation, higher oil prices and renewed central-bank tightening are making the path for equities increasingly unforgiving.

Markets want Warsh to clarify how firmly the Fed will fight inflation, how much weight it gives higher bond yields, and what would trigger another rate hike.

The debasement trade is a bet that governments will manage high debt through easier money and weaker currencies, driving investors towards gold, bitcoin and other stores of value.

Resilient growth, rising yields and energy risks are putting increasingly expensive markets under pressure.

Softer US data has reduced near-term Fed risks, but rising oil prices and stubbornly high long-term yields still threaten richly valued markets.

Weak jobs are lifting markets because lower rate risk still outweighs recession fears.

Warsh’s decision to let markets do more of the Fed’s work has pushed long-term yields higher while raising fresh doubts about his inflation-fighting credibility.