The U.S. consumer, which represents about 70% of our economy, now has the highest confidence since 2000. In opposite form, corporate confidence continues to deteriorate.The string of disappointing regional manufacturing reports continued on Thursday with the latest data from the Kansas City Fed. Attention all junk bond owners: corporate defaults have picked up recently. Is there too much optimism in the bond market? Remember, bonds have bear markets too. The record high bond duration is one of the factors causing investors increasingly vulnerable to sharp losses. Finally, for the first time, renewables surpass coal in the U.S. energy output.
1. On the positive side, the U.S. consumer, which represents about 70% of our economy, now has the highest confidence since 2000!
Source: WSJ Daily Shot, as of 6/24/19
2. This is what a trade war incents...businesses do not know what is likely to happen and thus they start doing nothing...
Source: Alpine Macro, as of 6/24/19
3. Low rates have helped keep our deficits under some semblance of control, but what happens if interest rates rise?
Source: Congressional Budget Office, as of 6/27/19
4. Another disappointing Regional FED report. The manufacturing recession is here....
Source: WSJ Daily shot, as of 6/27/19
5. Attention junk bond owners...
Source: Credit Suisse, as of 6/27/19
6. Probably...
Source: SEntimentTrader, as of 6/28/19
7. Don't forget that bonds can have bear markets too!
Source: WSJ Daily Shot, as of 6/21/19
8. Great news for the environment!
Source: Energy Information Administration, as of 6/25/19
9. How the European consumer feels...
Source: WSJ Daily Shot, as of 6/28/19
10. A positive surprise out of Japan...
Source: WSJ Daily Shot, as of 6/28/19
Disclosure: The charts and info-graphics contained in this blog are typically based on data obtained from 3rd parties and are believed to be accurate. The commentary included is the opinion of the author and subject to change at any time. Any reference to specific securities or investments are for illustrative purposes only and are not intended as investment advice nor are a recommendation to take any action. Individual securities mentioned may be held in client accounts.
