Ball of Confusion
June 1, 2020
–Protests, riots and looting give new meaning to ‘flight to safety’. However, equities have barely been dented.
–Friday saw yields fall as the month closed, with tens down 5.7 to 64.4 bps. Curve flattened with 2/10 down 3.9 to 48.8. Vol slightly firmer.
–Today’s news includes ISM Mfg expected 43.7 from 41.5 last. Prices paid expected 42 from 35.3. Friday’s release on UofM inflation expectations moved higher, with one-year 3.2% and 5-10 year 2.7%.–Fifty years ago, the Temptations released Ball of Confusion. Lyrics could have been from today. “Cities aflame in the summertime…” By the way, inflation in 1970 was 6.2%. And the band played on…
–Public transportation to and from the city has apparently been stopped. The building which houses the main office has been closed due to rioting. Therefore, service by the 24-hour desk may be curtailed.
