Bloomberg: U.S. Financial Conditions Support Bullish Case
Policy easing has been so successful that the U.S. financial conditions index is back above the 30-year average. That’s quite phenomenal and we’re back at levels that normally are associated with bull markets.
To provide some context, around the U.S. recession that followed the dotcom bubble implosion at the start of the century, financial conditions remained tighter than average for three full years! And in the GFC, the tight conditions lasted from August 2007 until March 2010.
Policy easing has been so successful that the U.S. financial conditions index is back above the 30-year average. That’s quite phenomenal and we’re back at levels that normally are associated with bull markets.
To provide some context, around the U.S. recession that followed the dotcom bubble implosion at the start of the century, financial conditions remained tighter than average for three full years! And in the GFC, the tight conditions lasted from August 2007 until March 2010.