Market
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The End of America First? Stock Index Relative Value Analysis: US vs EU/UK/Japan
No, I am not talking about US administration policy before Biden’s, I am talking about stock index trend between US market vs other 3 major markets (EU, UK, Japan), which has been there since the great recession of 2008 for more than 12 years. I noticed it the first time around 2 years ago, but with latest Coronacrisis and turmoil in bond market lately, this trend might be about to change. Motivation In my previous article explaining the relationship between bond market and stock market by comparing 10-year treasury bond yield (risk-free rate) and
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License to Yield: How Bond Actions Affect S&P 500 (and Others)
It has been more than a decade since the first time negative interest rates were introduced in 2009, by Sveriges Riksbank, central bank of Sweden in overnight deposit rate. However, the real negative interest rate policy (NIRP) were introduced broadly since 2014, which was called one of the greatest monetary policy experiments. Later, it was adopted by Bank of Japan in 2016, in which ultra-low negative interest rates were already introduced previously in post-1997 Asian Financial Crisis period. Euro area deposit facility graph (tradingeconomics.com) Bank of Japan interest rate decision