Markets move in cycles: Expansion, Peak, Contraction (Recession), and Trough. Global macro theory categorizes assets by where we are in the cycle:
Before you can trade the news, you must understand the mechanics. The "theory" side of the global macro theory and practice pdf equation rests on three distinct pillars.
As you read a theory chapter, ask: When has this theory failed?
Major Theoretical Frameworks
Central Banks & Monetary Regimes
Business Cycles & Leading Indicators
Exchange Rates & Global Imbalances
Commodities & Inflation Dynamics
Practical Frameworks for Asset Allocation
Case Studies in Global Macro
Building a Global Macro Process
Appendices
Global macro begins with central banks. The theoretical anchor is the Quantity Theory of Money (MV=PT) mixed with modern Interest Rate Parity. global macro theory and practice pdf