At Top of Fed, a Dispute on Policy Picks Up Steam – Reuters
Federal Reserve Chair Jerome Powell’s top deputies are edging toward a clash that could shape the pace of interest-rate hikes in coming months, as well as how the Fed should prepare for and combat the next economic downturn.
Draft League/Five Star Compact Sought Path to Leave Euro – Financial Times(subscription)
Text dismissed by parties as ‘old’ but its ideas highlight potential shock to Europe.
Dollar Near 5-Month Peak After Benchmark Treasury Yield Vaults Above 3 Percent – Reuters
The dollar hovered near a five-month high against a group of major currencies on Wednesday, as a surge in the benchmark 10-year Treasury yield above 3 percent reignited a rally that had lost steam last week.
Euro Zone Braces for Month of Truth From Data in ECB Prelude – Bloomberg
European officials aren’t letting a first-quarter slowdown undermine their confidence in the economy, but an upcoming round of numbers may test their view that the winter blues will pass.
The New Neutral: The Long-Term Case for Currency Hedging – Journal of Investing (subscription)
In this paper, the authors use traditional portfolio metrics to address the question of whether exposure to foreign currency is likely to help, or hinder, investors over the long run.
Hong Kong Steps In to Defend Its Currency Peg Again – Bloomberg
Hong Kong stepped in to defend its currency peg for the first time in almost a month.
CTAs Register Narrow Gains in April – Profit & Loss
The flash estimate for the Barclay CTA Index, compiled by BarclayHedge, indicates a 0.23% gain in April. Year-to-date, the index is down 1.42%.