Global Insight Weekly - July 15, 2021
In this week's issue...
Does the bond market care about inflation? – With U.S. inflation rising sharply and the Fed choosing to continue its accommodative monetary policy, the recent rally in Treasuries may seem surprising. We look beyond price increases to break down the factors driving the market response. (pg 1)
U.S. stocks need more than strong earnings to move higher – As earnings season kicks off, RBC Capital Markets expects strong earnings growth, but looks for more than that to push stocks higher. Meanwhile, weekly initial U.S. unemployment claims hit a pandemic-period low (pg 3)
Regional highlights: Bank of Canada keeps policy rates steady while tapering bond purchases; EU unveils its “Fit for 55” climate proposals; China’s retail sales beat estimates (pgs 3-4)
Global Insight Weekly, July 15, 2021 (rbc.com)