FATT News and Press, Fat Tail Risk ETF From 07/01/21

Inflation has been so low for so long that most of us can’t remember what it’s like to see the prices of goods and services rise in a way that we actually notice. While many have been concerned about government debt for a while now, the amount of money we’ve print...

The risk tone has worsened, but month-end flow as well as supply muddy the picture and we see the risk of a pullback today. The ECB has provided the market with a clear reaction function to trade off; the key data releases ahead will help US markets get a clearer grasp of the Fed's. ...

Faced with higher inflation numbers, the Federal Reserve has begun to create more meaningful parameters around its evolving stance on monetary policy. Although the changes could be less dramatic than many expect, we believe that investors should be prepared for higher market volatilit...

The reopening should continue across the major developed economies through the second half of 2021. The focus for markets has shifted to the strength of the growth rebound, the implications for inflation and the timing of central bank moves to taper asset purchases and eventually rais...

Inflation figures, which had been more harmonized than not for decades, all of a sudden they are acting a bit too idiosyncratic for once. That’s actually a red flag warning against inflation. The Treasury market is the farthest out of whack to inflation estimates. US inflation ...

Amid the economic recovery and increased demand for commodities, raw materials, and services, inflation is rising worldwide to the point that some analysts believe it could trigger another global economic crisis. However, inflation is not about high demand for products and less suppli...

The “mega-drought” out West is expected to cause electricity prices to rise due to hydroelectric power plant output falling, being rationed, or possibly shut down. Higher food and electric prices may be “transitory,” as the Fed has asserted, but this ȁ...

USTs maintain the global lead for outright yields. EUR curve dynamics have decoupled amid EU supply and a steady drumbeat of dovish comments from the ECB to ensure a calm summer. Country CPI data bears upside risks today, but nothing that the ECB wouldn't look through. For f...

The 30-year Treasury experienced the biggest decline as of 6/25/21, dropping 29.6 bps to 2.117% for the quarter. The largest increase in yield was in the 3-year Treasury as of 6/25/21, which rose 11.8 bps to 0.467% as the Fed signaled a possible start to raising interest rates over th...

The potential for higher U.S. taxes, coupled with regulatory risks and shifting growth momentum, tempers our near-term enthusiasm for U.S. equities. Euro area business activity surged in June as the region catches up on the restart that has been led by the U.S. and UK. Investors w...