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The Macro Pitchoun

Understanding markets through liquidity plumbing, funding stress and macro transmission.

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Issues56Foundeda year agoLast Issue12 days ago
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Latest Issues

The Bond Market Finds a Bid, Reassuring (Almost) Everyone

The Treasury market finally gave investors some relief this week.

After another sharp rise in long-term yields, the 10-year and 30-year auctions attracted strong demand. Dealers were left with unusually little of the supply, while their ex...

12 days ago
5

The Bond Shock Starts Creeping Into Credit

One of the most interesting features of the Treasury sell-off two weeks ago was how little the rest of the market seemed to care. Credit spreads remained contained, equities were resilient and funding markets stayed calm. That supported the...

19 days ago
5

When Growth Turns a Hawkish Repricing into an R* Repricing

Last week, I argued that the renewed strength of the U.S. economy was giving the Fed more room to raise rates without immediately threatening the expansion. This week, the September PMI data and the subsequent Treasury repricing have pushed...

a month ago
7

The Rate Reset Basket, When The Repricing Fed Path Turns Back

The latest rate repricing has reopened a familiar fault line in U.S. equities. When markets readjust the expected Fed path higher, the Russell 2000 has repeatedly struggled against the S&P 500. That relationship is not mechanical, and lower...

a month ago
2

Growth Is Back, Even as Cheap Money Is Going Away

Last week, we wondered how much higher rates could go before markets started caring. This week, the Fed delivered the hike, Warsh sounded more hawkish than investors wanted, and the picture became a little clearer. Some parts of the market...

a month ago
3

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    Markets are loud, narratives are cheap and signal is rare. The Macro Pitchoun tries to focus on the signal, somewhere between consensus, headlines and the market’s obsessions.

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