Headwinds

The second quarter of 2018 revealed little news in the bond market, as the generally range-bound trading that marked previous quarters remained in place. On May 11th, the yield on the 10-year U.S. Treasury bond reached 3.11 percent, and it appeared that interest rates were headed higher on the back…

Charlie’s month-end reading list

Here are some of the latest topics of interest at Fort Pitt Capital: The first piece, “The world’s fifth largest economy is about to require solar panels for all new homes,” is from Forbes magazine. California is going to be the first state to require new homes to have solar power installed.…

The stock market sees its shadow

Commentators often call a decline in stock prices after a sustained rise a “correction,” as if the previous rise was somehow an error. Normally, we refrain from such nomenclature, because no one knows what drives share prices in the short run. But in the case of recent declines in U.S.…

The two-year has broken through to the other side

Have we finally begun seeing the normalization of interest rates in U.S. Treasuries? Although we’ve seen sudden rises in interest rates before, we haven’t seen a precipitous rise like we’ve seen in the last month. Although we often focus on the ten-year Treasury as the barometer of interest rates, the two-year Treasury is our focus at this point.…

Coaster brakes

Back in September, the U.S. Federal Reserve announced that their massive bond-buying program known as Quantitative Easing (QE) would begin to be reversed on October 1st, 2017. Given this momentous occasion (at least for bond nerds like us), we thought it would be useful to summarize, in laymen’s terms, the…

The “MAGA” saga

The defining slogan of Donald Trump’s 2016 Presidential campaign was “Make America Great Again” (MAGA).  Presumably he won the election because millions of discouraged voters, particularly those in the Rust Belt, bought into the idea that Mr. Trump could deliver on his MAGA promise. But can he? Does he have…