Week in Review 10/9/2020

Bullish week for equities as most indices end on gains.

Initial claims in the US basically unchanged at 840k on the week, up from 837k.

10 year Treasuries looked like it was going to make gains on the week but renewed demand on Friday, ending up unchanged from Monday levels.

Lagged dollar index levels confirm that the currency is weakening again, after a strong appreciation in the second half of September.

US Real Estate loan levels end September on an increase, though momentum seems to be slowing as the summer moving window closes.

September Manufacturing PMI and Non-Manufacturing NMI levels don’t see much change, halting the strong positive growth trends from the initial summer reopenings.

FED balance sheet grows again after a slight decrease at the end of September. Repo and Swap operations continue to wind down though.

In fixed income, we see credit spreads tighten, most noticeably in riskier assets.

This reflects in the long end of the US yield curve rising as well.

In commodities, we see oil prices rise a bit as Hurricane Delta hits the Gulf of Mexico. Agricultural prices approach year highs and metals remain flat.

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