The Global Trading Map Looks Really Confusing Right Now

  • Volatility and correlation measures are sending vexing signals
  • The dollar has decoupled from once reliable risk-off behavior

'Not a Market for Trading,' Northern Trust CIO Says

Lock
This article is for subscribers only.

You aren’t just imagining it: global markets are flashing conflicting signals as they struggle to price trade friction, an easing of global synchronized growth, and the excesses of an aging bull market.

It’s a case of choose-your-narrative: A vanilla risk-on/risk-off trading climate, late-cycle dynamics that signal a sustained drop, or plain old U.S. stock volatility. Regardless, the current trading map is confounding Wall Street strategists and investors.