CEW News and Press, WisdomTree Emerging Currency Strategy Fund From 05/10/22

Risk appetites are improving on the margin. Asia Pacific stocks still fell after the sharp losses on Wall Street on Monday. Still, China, Taiwan and Indian equities traded higher. The euro has been bouncing along its trough around $1.0480 for the better part of two weeks. The doll...

The Asia-Pacific bourses were a sea of red, with many of the large markets off 2-3%. Japan was the exception and managed to eke out a small gain. Europe's Stoxx 600 gapped lower after yesterday's outside down session. US futures are trading around 0.3-0.5% lower. The dollar is...

The US 10-year yield is firm near 2.95%, while European benchmark yields have also firmed. The US dollar, which was sold hard yesterday has returned better bid today. Australia reported a larger than expected trade surplus of A$9.3 bln in March after A$7.4 bln in February. The pos...

The map of the Asset Allocation Committee’s market views is a buzz of activity this quarter. Coming into 2022, we anticipated slower growth compared with the steep recovery levels of 2021 and inflation that was declining but persistent—and problematic due to its origins ...

The Reserve Bank of Australia surprised the market by delivering a larger than expected 25 bp rate hike to kick-off the tightening cycle to 0.35%. The UK's April manufacturing PMI was revised to 55.8 from a preliminary reading of 55.3. Canada's April manufacturing PMI disappointed...

The Federal Reserve has communicated its intent to bring the Fed funds rate to a neutral setting and maybe higher in recognition of the persistence of unacceptably high inflation. The European Central Bank will continue to buy bonds through June. The swaps market discounts a tightenin...

Russia's decision to cut gas supplies to Poland and Bulgaria and the sharp sell-off in US equities yesterday casts a pall over the markets today. But not the dollar. The euro punched through $1.06 for the first time in five years and the greenback turned higher against the yen after f...

The recovery attempt of risk appetites, reflected in the recovery and strong close in US stocks yesterday was dealt a blow by Russia's Foreign Minister's warning of a "serious" danger of nuclear conflict. While the Fed's balance sheet was expanded primarily through asset purchases, th...

With U.S. bond market yields rising to levels not seen since 2018–19, market participants appear to be debating whether rates have further room to rise from here or whether the increases now represent a renewed buying opportunity to go long duration. The rise in UST yields thus...

We like emerging market (EM) local debt within an overall bond underweight. Much monetary tightening has been done, and valuations are compelling. U.S. Treasury yields hit new three-year highs last week, and equities fell. We still think stocks can weather the yield rise in the inflat...