Goldman Sachs analysts say it's “too early” to price in a dovish turn in Federal Reserve policy as the economic outlook isn’t bad enough yet, and rates markets remain too volatile.
Goldman Sachs Group Inc. analysts say it’s “too early” to price in a dovish turn in Federal Reserve policy as the economic outlook isn’t bad enough yet, and rates markets remain too volatile.
“With gasoline prices on the rise and until a broader set of macro data suggest more material weakness in the economy, we would generally lean against markets’ dovish repricing of the Fed,” the strategists wrote. The U.S. equity benchmark is only a few points away from closing at its lowest since November 2020 for the second time in less than two weeks. The gauge has already tumbled 24 per cent this year.
They warned last month that a peak in U.S. two-year yields -- which will signal a turning point in the Fed’s hawkishness -- remains a way off and an analysis of past episodes suggests it’s best to stay defensive.
Philippines Latest News, Philippines Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
The Week Ahead: Earnings from Aritzia, BlackRock; U.S. inflation data due - BNN BloombergA look at what investors will be watching in the week ahead.
Read more »
The Daily Chase: Canada snaps job-loss streak; Sizing up U.S. pot outlook - BNN BloombergCanada’s three-month streak of job losses was snapped last month. Statistics Canada says the economy added 21,100 jobs in September, slightly outpacing expectations.
Read more »
U.S. stocks decline as rising yields sap risk appetite - BNN BloombergStocks fell, pressured by rising Treasury yields and signs that company earnings were set to disappoint. A gauge of the dollar climbed to the highest this month.
Read more »
Strong USDX, rising U.S. Treasury yields, stingy Fed punish gold, silver pricesSenior Technical Analyst Jim Wyckoff prepares investors with an overview of how the markets opened and closed. What moved metal prices? How do the technicals look? By looking at important developments
Read more »