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On the radar: St. Louis Fed Financial Stress Index dials down in November 22 week

The St. Louis Fed’s Financial Stress Index dialed down again in the week ended November 22, falling to -1.325 to its lowest level since -1.348 in the August 2 week. Rising equity prices and more certainty about the direction of monetary policy specially and the economy in general have helped ensure markets are feeling calm.

The spread for Treasury yields narrowed in the week average for November 22, although it remained sufficient that is should not be interpreted as another warning sign of a flight to safety.

 

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