An 'everything bubble'?
Financial market bubbles are quite concentrated, we noted recently. But more and more market segments seem to be overheating. Government bonds, on the other hand, strongly disagree with the stock markets.
An anecdotal example of this bubble-forming is the price of wood (lumber), which has risen even faster than the Nasdaq since the beginning of this year. Just take a look at the graph below:
Coronavirus crisis: all eyes on the ECB
The Fed and the Bank of England responded to the coronavirus fall-out with emergency rate cuts of 50 basis points. Now, all eyes are on the ECB.