Rising Interest Rates

    Apr 20, 2017

Uptick in Inflation Presents Opportunities

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Recent inflation data was lower than expected. Now, some of this reflected cell phone plans and a...

    Apr 12, 2017

Disentangling Cycles from Time

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Deep into the expansion phase of an economic cycle, the classic pattern involves Fed tightening, yield-curve flattening, rising rates, and tightening credit spreads.

    Apr 10, 2017

CEOs, CapEx, and Correlations

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CEO confidence has risen in recent months, and that has typically led to increased capital spending when sustained and coupled with growing profits and a full order book...

    Apr 6, 2017

S&P Rises Despite Health Care Setbacks

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The S&P 500 rose 5.5% in the first quarter and managed to finish less than 2% from its all-time high, despite setbacks in health care legislation. There was a notable absence...

    Apr 6, 2017

High-Yield Positioning

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High-yield spreads over Treasurys have tightened this past year amid a growing economy, improving corporate profits, and a rebound in commodity prices. As a result, default...

    Mar 30, 2017

What Will Drive Stock Prices Higher?

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Since early 2012, quantitative easing had fueled P/E (price-to-earnings) multiple expansion as the primary driver of equity returns. As we enter a new market cycle, we believe...

    Mar 28, 2017

High-Yield Bonds in a Time of Rising Rates

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The prices of bonds generally move inversely to interest rates, except when they don’t. High-yield corporate bonds, for example, may defy this expectation under some circumstances.

    Mar 23, 2017

Capital Structure Seniority with a Side of Lower Volatility

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Late last year, three-month LIBOR surpassed 1%, making LIBOR floors a thing of the past.