Risk-appetites and, by implication, the capital markets entered a new phase around June 5 when the US reported an unexpectedly strong jump in the May non-farm payrolls. The risk assets had been rallying since mid-March in anticipation of an economic recovery and fueled by the massive liquidity provided by central banks and the spending plans of governments. Subsequent data have generally confirmed that after sharp contractions, many high-income economies are on the mend, and a return to positive growth is likely in Q3. The corrective/consolidative phase appears to be drawing to a close. The stronger than expected ... (full story)