Delta Variant Impacts Markets; Dividend Futures and Inflation Jul 29, 2021 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 dampens economic optimism, equities could become less attractive. Is the Fed view that rising inflation is transitory gaining traction among investors? Watch video Dividend Futures as an Inflation Hedge Dividend futures have been flat since 2017 even as S&P 500 climbed 91%. Bond yields muted despite surge in inflation, strong economic growth. During high-inflation 1970s, equities were nominally flat while dividends surged. Could S&P 500 Dividend futures serve as a hedge if inflation continues to rise? Watch video SEE MORE ANNOUNCEMENTS
