Last week saw an array of significant events unfold in the global banking and financial sectors, with concerns over Deutsche Bank, rising inflation, and China’s economic recovery dominating headlines. Deutsche Bank’s shares slid 8% after a sudden spike in default insurance costs raised concerns among investors. While analysts insisted that Deutsche Bank was not the […]
This week, unprecedented disruptions occurred in global markets, with major sovereign bond markets trading like meme stocks. The US Treasury experienced a rare 12-sigma move, while German Bunds had a record-breaking single-day move. Volatility indicators also had their largest moves since the COVID shock. This turmoil was triggered by a bank run on Silicon Valley […]
Silicon Valley Bank’s recent troubles have highlighted the risks posed by exposure to mortgage-backed securities. The bank purchased over $80 billion of these securities with deposits, but as interest rates rose, the value of the securities plummeted. The bank recently announced it had sold $21 billion of its Available For Sale securities at a $1.8 […]
The global financial markets are experiencing volatility as investors try to gauge the future path of monetary policy. The US Federal Reserve has said it may hike interest rates sooner than expected to combat rising inflation, which could have an impact on stock and bond markets. The Fed has also been discussing the possibility of […]
Global markets had a mixed week, as concerns over rising interest rates and inflation continued to weigh on investor sentiment. Gold prices edged up as the dollar weakened due to rate hike worries, capping off a choppy trading week for the precious metal. The price of gold has been volatile in recent weeks as investors […]
