BBSC News and Press, JPMorgan BetaBuilders U.S. Small Cap Equity ETF From 11/14/22

Summary We are in a landscape of divergences and potential pivots. The capacity to absorb structurally higher rates is likely to be key over the next year or two. We think the volatility generated by pivots can continue to offer a favorable backdrop to global macro and other t...

Summary The narrative in financial media is that inflation has peaked. The rate of change of inflation has peaked, not inflation. Inflation remains high and consumers are paying high prices. Yesterday's market rise was highly likely a relief rally. Fo...

Summary Policymakers have often said that exchange rates should reflect fundamentals. We are still struck by the latest Bank for International Settlements figures. Their survey found that the average daily turnover in the foreign exchange market was $7.5 trillion a day. While ...

Summary The Federal Reserve, the European Central Bank and the Bank of England will all undershoot the current market discount for terminal rates, but we should get quite close to the tops that the market expects. The energy crisis in Europe adds to bond supply pressure as economi...

Summary Credit market rallies most in two years as inflation abates. The Semiconductors jumped 10.2% during Thursday's session, the Nasdaq Computer Index 9.0%, the Nasdaq100 8.4%, and the Bloomberg REIT Index 7.1%. The Goldman Sachs Short Index surged 10.9% Thursday, with a tw...

Summary The S&P 500, which fell to a year-to-date low of minus 25 percent in the middle of October, built the magnitude of its recovery back by nearly ten percent, and is now down just 16 percent from January. We do not see much in the way of surprises ahead from the big direc...

Summary The market had a stunning reaction to the CPI number this week, with one of the largest gap openings on record (to regular session hours), and a historic uptrending day on Thursday. In this case, the minor “improvement” on CPI could effectively be a rounding ...

Summary Federal Reserve Chairman Jerome Powell stepped to the podium at his most recent press conference and delivered a very clear message: The market should expect rates to remain higher for longer. Yes, inflation remains the chief concern for markets and the economy right now, ...

Summary While the U.S. economy has absorbed tighter financial conditions so far, it doesn’t mean it will continue to do so. The bullish expectation is that when the Fed finally makes a “policy pivot,” such will end the bear market. While that expectation is no...

Summary Highlights from the U.S. October inflation report. U.S. midterm elections update. Do markets prefer congressional gridlock? On the latest edition of Market Week in Review, Chief Investment Strategist Erik Ristuben and Sophie Antal-Gilbert, Head of AIS Portfol...