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United States
Economic activity has remained resilient despite headwinds from the dollar, oil prices, and bond yields.
Euro Area
The FX-hedged 10-year French yield offers only about a 40 bp pickup over Japan’s domestic yield.
Emerging Markets
Lula’s share of the vote fell from 2022 levels in 25 of Brazil’s 27 states in the first round of the presidential election.
Equities
NVIDIA’s weighting in ACWI—the ETF that tracks the MSCI All Country World Index—has now surpassed that of Japan. In other words, if NVIDIA were considered a country, it would rank as the second-largest in ACWI, behind only the United States.
Rates
As yields and volatilities rise, the likelihood that the cheapest-to-delivers (CTDs) of Treasury futures switch into longer-maturity bonds increases, raising the value of the embedded delivery option.
While a conventional fixed-rate bond’s duration typically falls as yields rise, Treasury futures can behave differently: a switch in the CTD toward a longer-duration bond can increase the futures contract’s duration.
Credit
Here’s a look at redemption requests at major private credit BDCs.
Commodities
The valuation indicators from Topdown Charts suggest gold is expensive while Treasuries are cheap relative to history.
Food for Thought
Children’s career choices are influenced by the occupations of their neighbors.
