Marc Chandler – A Discussion On Trends In Interest Rates, Debt Servicing, Currencies, And Key Economic News On Tap

Marc Chandler, Managing Partner at Bannockburn Global ForEx and Editor of the Marc to Market website, joins us to looks at the trends in interest rates and how that aligns with Fed policy expectations, the continued inverted yield curve, how this impacts the debt servicing as it rolls over at higher rates, and how this has affected key global currencies.  We also look forward to the key US economic data on tap for next week, with Powell addressing the house, another jobs report, and other announcements expected from the Bank of Japan and People’s Bank Of China.  




Click here to visit Marc’s free blog – Marc to Market.

    Mar 03, 2023 03:36 PM

    Wall Street Climbs As Yields Pull Back

    By Sruthi Shankar and Shristi Achar – Reuters -Mar 03, 2023

    “U.S. stocks rose on Friday as Treasury yields took a breather from a week-long rally that was sparked by worries that the Federal Reserve would keep interest rates higher for longer to tame stubborn inflation.”

    “Wall Street indexes have had a volatile start to March after the latest economic data pointed to rising raw material costs and a resilient labor market, while signaling that the U.S. central bank was yet to see the desired impact of its policy tightening measures on inflation.”

      Mar 03, 2023 03:41 PM

      Weird. That link was supplanted by a different story and verbiage, but still along the same lines. I’ve noticed that will often do that featuring one story in the morning and then doing a revisionist story later in the day to jive with changes in the markets.

      I had it open in tab to post today, and at least captured part of the older one.

      Here is what the new article is titled and says now:


      Wall Street closes sharply higher, notches weekly gains as Treasury yields ease

      By Stephen Culp – Reuters – Mar 03, 2023

      Wall Street rallied on Friday to end a volatile week, as U.S. Treasury yields eased and economic data helped investors look past the growing likelihood that the Federal Reserve will have to keep its restrictive policy in place until late in the year.

      All three major U.S. stock indexes surged more than 1%, with the tech-laden Nasdaq climbing close to 2% with a boost from interest rate sensitive megacaps. U.S. Treasury yields eased in the wake of comments from Fed officials that calmed fears over inflation and interest rates.

      “It continues to be all about the Fed and how gracefully they can slow the economy,” said David Carter, managing director at JPMorgan (NYSE:JPM) Private Bank in New York. “The Fed is telling markets what they want to hear but also injecting the caution that rates may need to go higher depending on the economic data.”

        Mar 03, 2023 03:30 PM

        Me thinks they speak with forked tongue …

    Mar 03, 2023 03:14 PM

    When the BRICS back their currencies with Gold or some other tangible assets that include precious metal that will force The Fed to follow suit. They will have no choice but to play ball, that will shut down the money printing machine and if they print new money without backing it, technology will allow other countries to report any indiscretions. If you can monitor every transaction an individual makes with Central Bank Digital Currencies the Central Banks of other counties will be able to and want to monitor your currency. Technology can be used to work for you and against you if you don’t comply. That is why digital currencies will fail. DT