JPMorgan Has a Surprisingly Simple Theory for Low Volatility – Bloomberg
Investors have conjured up myriad theories to make sense of historic lows in market volatility across asset classes despite such strong headwinds, citing everything from soaring assets in passively-managed vehicles to the rise of social media. To explain the tranquility, JPMorgan Chase & Co. strategists led by Nikolaos Panigirtzoglou go back to the basics.
Dollar Hits Seven-Month Low, Stocks, Oil Retreat as Caution Reigns – Reuters
Escalating tensions in the Middle East, the impending testimony of the former FBI director, British elections and a European Central Bank meeting this week, all took their toll on Asian stocks, oil and the dollar on Tuesday.
For BlackRock, Yuan Is Key to Ongoing Rally in Asian Currencies – Bloomberg
On a winning run thanks to the downtrodden dollar, Asian currency bulls have something else to smile about — the yuan. The Chinese currency’s unexpected surge over the past two weeks has put it atop the Asian leader board, with the gains, thought to be largely engineered by policy makers, turning around a weakening trend in the yuan.
RBA Holds Rates at Record Low Amid Sluggish Growth Outlook – Bloomberg
The Reserve Bank of Australia kept its benchmark interest rate unchanged amid a mixed picture of weaker growth signals, a stronger jobs market and a slowing of house prices.
U.K. Retail Sales Decline as Households Keep a Lid on Spending – Bloomberg
The evidence is mounting that U.K. consumers are reining in spending.