Citi's Levkovich Sees No Sign of Recession in U.S.

The video discusses the impact of Mexican tariffs and political unpredictability on markets, highlighting the erratic nature of trade policies and their effects on both equity and bond markets. It examines the bond market's serious response to potential economic slowdowns and recession fears, driven by continuous positive flows and attractive US yields. The discussion also covers the implications of tightened credit conditions and the fading complacency among investors regarding recession risks.

What was the initial reaction to the President's tweet about Mexican tariffs?

• It had no impact on the market.

• It was well-received in Mexico.

• It caused a positive market reaction.

• It was not well-received in Mexico.

What is one reason the bond market might be taking economic conditions more seriously than equities?

• The bond market has seen continuous positive flows.

• The bond market is unaffected by political events.

• The bond market is less influenced by global yields.

• The bond market is primarily driven by cash holdings.

Why are US yields considered attractive to investors?

• They are unaffected by global economic conditions.

• They are higher than global yields.

• They are guaranteed by the government.

• They are lower than global yields.

What concern is raised about credit conditions in the final section?

• They are irrelevant to investor behavior.

• They are tightening and may lead to a recession.

• They have no impact on the economy.

• They are loosening and boosting the economy.

What recent economic indicator is mentioned in the context of recession concerns?

• Stock market indices

• Consumer confidence

• Isma numbers

• Unemployment rates