John Hancock: Weekly Market Recap Week Ended February 24th
Fed’s rate outlook Although the U.S. Federal Reserve slowed the pace of interest-rate hikes at its most recent meeting on February 1, minutes from the session that were released on Wednesday showed that Fed officials believe “ongoing” rate hikes will continue […]
Franklin Templeton: Outlook For US Fixed Income and Equities Amid Tighter Financial Conditions
Following the 25 basis-point (bp) increase that the Fed announced on February 1, 2023, Franklin Income Investors Chief Investment Officer Ed Perks answered questions about his outlook on US interest rates as well as fixed income and equity securities for the rest of 2023. Key takeaways: What’s driving the Fed’s policy and what […]
John Hancock: Weekly Market Recap Week Ended February 17th
Inflation’s persistence Mixed readings on inflation fueled concerns that the U.S. Federal Reserve may extend its rate-hiking cycle longer than expected. Tuesday’s Consumer Price Index release showed a smaller-than-expected decline to an annual inflation rate of 6.4%; a separate report on Thursday indicated that prices charged by industrial suppliers rose more than had been forecast. […]
Schwab: Bond Yields Appear Set For A Rebound
The post-pandemic economy continues to deliver surprises to the markets. From global supply-chain disruptions to surging inflation, this cycle has been unique. So it’s fitting that just when the markets were discounting slowing growth and disinflation, the January unemployment report delivered another shock. […]
JP Morgan: 5 Factors For Investors To Consider
Market update: Off to the races With a gain of more than 2%, the S&P 500 is headed into the weekend firmly above 4,000 for the first time since mid-December. The breadth of the rally was wide, with nearly 400 stocks in the green on the week. The tech-laden NADSAQ 100 outperformed, with its +4% […]
John Hancock: Weekly Market Recap Week Ended February 10th
Inflation battle U.S. Federal Reserve Chair Jerome Powell said on Tuesday that the process of lowering inflation to the central bank’s goal of 2% “is likely to take quite a bit of time” and will probably be “bumpy.” His comments in a moderated discussion came after a week highlighted by an unexpectedly strong jobs […]
LPL: What You Should Know About The Latest Fed Action
What a Difference a Year Makes A year ago today, the federal funds rate was close to zero, consumer price inflation reached 7.9%, and yet the 10-year Treasury yield was 1.79%. What a difference a year makes. Inflation clearly had more upside and from this vantage point, the Federal Reserve (Fed) was late in pursuing […]
Lord Abbett: Which Equities Have Outperformed When The Economy Slows?
Which Equities Have Outperformed When the Economy Slows? Periods of low U.S. GDP growth historically have set up well for secular growth stocks. Since the second half of 2022, it has become increasingly clear that the U.S. Federal Reserve (Fed) intends to get inflation under control and seems to be willing to do so […]
John Hancock: Weekly Market Recap Week Ended February 3rd
Monetary moves As expected, the U.S. Federal Reserve lifted its benchmark rate by a quarter-percentage point—smaller than the half-point hike approved in November—while acknowledging that inflation has recently eased. The next day, the European Central Bank and the Bank of England both lifted their key rates by a half-percentage point. Jobs bonanza Friday’s […]
LPL: Solid End To 2022, But Risks To U.S. Economy Rising
Solid Quarter to End 2022 but Tougher Sledding in Q1 The U.S. economy grew at a 2.9% annualized rate in the fourth quarter, slightly better than economists’ forecasts and driven by inventories, trade, and government spending. The solid overall growth follows the 3.2% annualized growth rate for U.S. gross domestic product (GDP) in the third […]