EXCHANGE CORNER

Euro-dollar dynamics and the inflation debate By Blu Putnam, Chief Economist & Erik Norland, Senior Economist, CME Group Gold, Dollar Signaling Inflation Risk? Gold, dollar signaling market expectations for higher inflation? Rising yields are consistent with concerns over inflation risk. Fed’s pause in asset purchases could be behind rising long-term yield. Inflation has held at … Read More

View in your browser Tracking the Economy in Real Time By Blu Putnam, Chief Economist, CME Group Highlights Restaurant data suggests people are cautious about eating out. A big shift to working from home is likely for many office employees. Such a move could cause headwinds for downtown businesses. Any recovery in business air travel … Read More

Fed Snaps Up Nearly Half of $3.4 Trillion H1 Debt Sales By Blu Putnam, Chief Economist, CME Group Highlights Fed bought 46% of US Treasury’s $3.4 trillion in H1 debt sales. Fusion of monetary, fiscal policies lowered Treasury market volatility. Treasury yield curve is now a combination of demand and Fed policy. Is yield curve … Read More

Stimulus solidarity rallies euro & implications of US borrowing over $3T By Blu Putnam, Chief Economist, CME Group Euro Rallies Amid Europe’s Pandemic Response EU members to collectively raise 750 billion euros from bonds issued. Ground-breaking move to stimulate sagging economy rallies euro. Debt issuance binds 27 EU members in a coordinated fiscal initiative. Member-nations hit … Read More

Fed Pauses, Evaluates Pandemic Response By Blu Putnam, Chief Economist, CME Group Highlights Fed reduces support for primary bonds dealers as liquidity rebounds. Fed swap lines to central banks drawn down as demand wanes. Did Fed purchase of Treasury notes, bills impact shape of yield curve? Fed activity has substantially changed sentiment in Treasuries market. … Read More