ANNOUNCEMENTS

View in your browser Inflation Lacks Persistent Driver and Bonds Price Unique Fed Move By Blu Putnam, Chief Economist Erik Norland, Senior Economist CME Group Weak Dollar Drove Inflation in the 1970s Inflation has exceeded Fed’s 2% target, yet bond yields barely moved. Ten-year Treasuries are yielding less than 1.3%, below actual inflation rate. Weaker U.S. … Read More

View in your browser Dividend Futures as an Inflation Hedge? By Blu Putnam, Chief Economist, CME Group Dividends Futures and Soaring Inflation Dividend growth expected at 10%-15% through 2020s before inflation. When adjusted for inflation, dividend growth turns negative in 2020s. Equities have outperformed dividends amid declining bond yields. Dividend index futures could be an inflation … Read More

View in your browser Labor Market Anomalies and Soaring Home Prices By Blu Putnam, Chief Economist Erik Norland, Senior Economist CME Group Contradictions in the Labor Market About 30%, or seven million, of jobs lost to pandemic yet to be recovered. Some sectors unable to find workers in an anomaly of the economic recovery. More … Read More

View in your browser Why are Bonds Calm About Inflation? By Erik Norland, Senior Economist, CME Group Has Quantitative Easing Distorted Treasuries Market? U.S. bonds muted even as June inflation rose to multi-year highs. Bond investors seem to share Fed view of rising inflation being transitory. Investors might feel supply chain disruptions and labor shortage … Read More

View in your browser Delta Variant Impacts Markets; Dividend Futures and Inflation By Blu Putnam, Chief Economist Erik Norland, Senior Economist CME Group Delta Impacts Markets, Economies Reflation trade of higher bond yields on rising inflation reversed by Delta variant. Some commodity markets, led by lumber, reverse earlier gains as variant spreads. If virus variant … Read More