Fed Funds Futures and Aggregate Demand Watch 5/4/2011

Data from : http://www.cmegroup.com/trading/interest-rates/stir/30-day-federal-fund.html
(Before data corresponds with April 27 and After corresponds with today's closing prices)

S&P 500

Before : 1357

After : 1347

Treasuries

2 year

Before : 0.64

After : 0.59

10 Year

Before : 3.35

After : 3.22

30 Year

Before : 4.45

After : 4.32

Inflation Expectations

2 year inflation swaps

Before : 2.65

After : 2.62

5 Year TIPS

Before : 2.38

After : 2.44

10 Year TIPS

Before : 2.6

After : 2.57

30 Year TIPS

Before : 2.68

After : 2.67

Bloomberg Commodity Index

Before : 1766.98

After : 1728.18

Lower equity prices, lower nominal and real yields, lower inflation expectations, lower federal funds futures, and lower commodity prices... all signal lower aggregate demand expectations. Markets are clearly less optimistic about the US economy than they were a week ago, but the change is relatively modest.

(Non-fed funds futures data from bloomberg.com)