VGLT News and Press, Vanguard Long-Term Government Bond ETF From 09/06/22

Summary The economic data released last week continued to show a modest improvement in the economy since July. The 10-year Treasury yield has been rising since the summer of 2020 although there was a pullback in rates that lasted from April to August of last year. Best-perform...

Summary The short end of the Treasury curve will tell us - probably before Powell does - when monetary policy is on the verge of shifting to neutral or accommodation. If the odds of a recession start to increase, the yield curve will likely flatten first and then steepen, and shor...

Summary Fallen angel junk bonds are now offering a nearly 7% SEC yield. Many investors dislike junk bonds, but I believe that there are many compelling reasons to include them as a part of a diversified portfolio. Now is a good time to buy the FALN fallen angels ETF, but you m...

Summary The Federal Reserve’s decision to tighten monetary policy may finally be paying off. A high annual rate from July 2021 to July 2022 does not necessarily imply that the Fed’s recent policy change was ineffective. The most recent inflation data provides som...

Summary In November of ’21, stock price momentum started to slow. I was precisely wrong or premature in labeling the first half of ’22 a recession. Falling stock prices had a direct and indirect impact, probably hurting the average American by about 10%. ...

Summary The peak in 1-month forward Treasury rates climbed to 4.95% by Friday in a delayed reaction to Chairman Powell's comments of the week before. The negative 2-year/10-year Treasury spread has now persisted for 43 days, narrowing this week to a negative 20 basis points from n...

Summary Apartment rents are a classic "sticky price;" the rent is fixed in dollar terms for a year. So, landlords decide how much rent to charge, and people decide how much they're willing to pay, balance rents now vs. higher rents in the future. Inflation should not be a surp...

Summary Global 'Risk Off' gathers momentum by the week. Crisis Dynamics fester, as global central banks coalesce around a united front for battling inflation. JPMorgan CDS rose seven this week to a six-week high 88 bps. Citi CDS jumped nine to a one-month high 103 bps, and Goldman...

Summary Why did markets sell off in the wake of Powell’s speech? U.S. adds 315,000 jobs in strong August showing. Where are home prices declining the most? On the latest edition of Market Week in Review, Investment Strategy Analyst BeiChen Lin and Research Ana...

Summary After gorging on +9% gains in the stock market (S&P 500 index) during July, investors suffered some heartburn pain in August (-4%). The indigestion really kicked in after Federal Reserve Chairman, Jerome Powell, gave a frank and candid outlook during his annual monetar...