Cross River Intelligence Archives

Greetings, The Fed released the minutes of the January FOMC meeting and provided a bullish outlook to the economy with upside risks due to tax reform. The committee indicated that they were on track to raise interest rates in the March meeting, and market participants are expecting 3 rate hikes in 2018. Higher rates would eventually need to be passed on to borrowers who have enjoyed record low ...

Note: PeerIQ will be announcing a significant bank / FinTech partnership this Tuesday. Stay tuned! Equity and credit markets recovered this week as the S&P500 posted its best 5-day rally. US consumer sentiment rose to 99.9, the second-highest level since 2004, signaling that the US consumer is still optimistic about the economy. The 10-year treasury yield flirted with the 3% - ...

Volatility made an abrupt return to capital markets after a nearly 18 month hiatus. Equity markets dropped almost 10% from their peaks, as investors focused on rising US treasury yields. 10-year yields touched 2.88% - nearly a four-year high. Corporate bonds (CDX.IG spreads) widened 5bps this week to 60bps, while high-yield widened 16bps to 353bps. No ABS deals have priced during the sell- ...

The US economy added 200k jobs in January. Wage inflation accelerated to 2.9% YOY increasing the prospects of higher rates. Janet Yellen chaired her last Fed meeting as the committee kept interest rates on hold in January. Futures are pricing in a 93% probability of a rate hike in March and 3 rate hikes for 2018. The recent sell off on the long end of the curve has seen 10-year t ...