When in doubt, follow the bond market’s lead
Breakfast with Benjamin: When in doubt, follow bonds' lead. Plus: Consumer spending to the rescue, Johnson replaces Johnson at Fidelity, and more.
- As the Fed frets over inflation, the bond market has already made up its mind and moved on. With motives and ulterior motives as your guide, especially considering how intertwined monetary policy has become with fiscal policy, the smart play is to trust the bond market. Bond traders show little fear of inflation
- Once again, it all comes down to the consumer. Now, go out and spend money. It’s good for the economy and it feels good because the dollar is strong and stuff is getting cheap. Global unrest has never stopped a U.S. consumer from buying a new T.V.
- Abigail Johnson takes the helm at Fidelity, ascending to a job for which she has been groomed for many years. Already president, the new CEO title described as ‘largely ceremonial’
- Calvert Investments finds its next CEO in Oregon at Portfolio 21. John Streur will take over for Barbara Krumsiek in January
- Artists and supermodels became contra-indicators as currency speculators. ‘I won’t get out of bed for U.S. dollars’
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