Persistent and large rate hikes by the Fed signal the end of an era Published by Hilliard MacBeth on Jul 29, 2022 This week’s large rate hike by the Federal Reserve means that the era of the Greenspan Put is over. The Fed increased its base rate by 75 basis points this week and hinted that more increases are coming, in spite of widespread worries about a weak stock... Read more
The Chinese residential property market crisis deepens Published by Hilliard MacBeth on Jul 22, 2022 The Chinese residential property market is in deep crisis. Thousands of apartment buyers have stopped paying their mortgages because they are upset that the unit they bought has not yet been built. Will this crisis affect China’s stability? Starting about... Read more
The Bank of Canada shocks with 100 basis points increase in rates Published by Hilliard MacBeth on Jul 15, 2022 The Bank of Canada shocked financial markets with a surprise increase of 100 basis points in the official interest rate. Will this be enough to stop inflation? Here’s an excerpt from the July 13, 2022 announcement: “With the economy clearly in excess... Read more
Crude oil prices peaking and plunging Published by Hilliard MacBeth on Jul 08, 2022 Crude oil has plunged below $95 this week, from a recent peak of $123 in March 2022. In the past, high prices for crude oil have been associated with recession. Is the price action of crude oil predicting a recession? Crude oil is the most actively traded... Read more