Daily Market Commentary

March 1, 2020

Bonds & Stocks
The recent surge in longer-dated Treasury yields has been dramatic but not unprecedented. In the past eight years, the market has sold off four times over comparable time periods.

The thinking is that vaccines and mounting immunity unleash pent-up demand, which stirs a hiring wave that drives unemployment sharply lower. The Federal Reserve sees the jobless rate dropping to 5% by the end of 2021 and some in the private sector including Goldman Sachs Group Inc. and Deutsche Bank AG have projections in the 4% range.

After days of top policy makers saying they won't tolerate higher yields if they undermine the economy, the institution will publish its latest bond-buying figures at 3:45 p.m. Frankfurt time. A significant increase in purchases would show they are backing their words with action.

The information represented herein was obtained from various sources, which we believe to be reliable. Neither the information presented nor opinions expressed constitutes an offer to buy or sell any security. And it is not intended to guide the investor on which securities to buy, or when to buy or sell.

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