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The Compound and Friends: All the News That's Fit to Print
Michael Batnick
August 23, 2024
PRESENTED BY MOBY: Global Liquidity Hits Record Highs of Nearly $175 Trillion
Global liquidity is on the rise. Last week, it slowly climbed $1.13 trillion, pushing the total to an unprecedented $174.67 trillion, marking a new all-time high. This influx of capital into the global financial system indicates an overall increase in access to capital across international markets and an approving nod for risk-on assets, including equities and high-yield bonds.
With more capital available, global markets could see some momentum in stock markets, especially in sectors sensitive to economic growth, which bodes well for the U.S. and global economies as increased liquidity can fuel economic expansion and boost investor confidence.
If global liquidity continues to rise, financial markets may strengthen further, with equities likely continuing their upward trajectory. A persistent increase in liquidity would likely lead to lower borrowing costs and stimulate economic activity, but it would also raise concerns about asset bubbles and financial stability.
Get the full insights into how global liquidity highs might affect the future portfolio management with Moby. {Click Here}
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helluva fun fact from @fcastofthemonth, a must follow: "We have now had 10 of the last 13 months of core PCE inflation average 0.168%, or 2.0% annualized..."
— talmon joseph smith (@talmonsmith)
12:41 PM • Jul 26, 2024
The Fed had the chance to walk into the end zone and spike the football
Now it looks like they fumbled at the 5 yard line
They could still recover the ball for a TD in the end zone but it’s not gonna be the same level of celebration if they have to panic cut 50 bps
— Ben Carlson (@awealthofcs)
1:19 PM • Aug 2, 2024
During the pandemic, many firms were able to raise prices beyond their input costs, in part because consumers had extra cash and the economy was so distorted by the pandemic. Some dubbed it "sellers' inflation," others corporate greed. Barkin described it this way:
— Chris Rugaber (@ChrisRugaber)
1:27 PM • Aug 12, 2024
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