Fed Shakes Up the Market Needlessly
Stocks posted their fourth straight daily loss Friday to end a rocky week that saw benchmark U.S. Treasury yields surging to 16-year highs and investors digesting hawkish revisions from the Federal Reserve. The central bank was the main event of the week. The Fed's...
Will the Consumer Crack?
While many investors and economists have crossed over into the sunny lands of soft landing, the major concern remains that the US consumer is about to crack. There is growing consensus that the US economy is just beginning to feel the effects of the central bank’s...
Why the G20 summit matters to Wall Street this time
U.S. stocks recovered slightly on Friday but ended up down for the week as anxiety over the G20 summit and the Federal Reserve turning more hawkish impacted investor sentiment. A lot is riding on the G20 summit this week, especially with notable absences that include...
The Consumer Spends and Spends
The labor market has been the stalwart of the US economy this year, supporting momentum that’s set it on a glide path for that Goldilocks scenario known as a soft landing. New data this week showed more people entering the workforce, increased hiring and slowing wage...
Finishing off inflation
Stocks rallied Friday as investors welcomed comments from Federal Reserve Chairman Jerome Powell in Jackson Hole that pointed to stronger than expected economic growth. Investors cheered Powell's confidence in continued U.S. economic growth, as he cited "especially...
China is melting
Stocks and bonds both fell for the week as healthy economic data drove the narrative that the Federal Reserve will keep interest rates higher for longer. Among the major stock market indices this week, the S&P 500 posted a 2.1% decline to its lowest level in...
How could so many economists be so wrong?
Stocks closed lower Friday to cap a volatile week that finished with losses after Fitch downgraded its U.S. credit rating below the top AAA level, which sent U.S. Treasury yields on a wild ride. Friday marked the final day of the busiest week in the second quarter...
China Unravels – Deflation awaits
There’s no denying that China’s economy is struggling. Real GDP growth slowed considerably in the second quarter, as exports declined and households accumulated savings to protect against an ongoing slump in property values. Data for July point to ongoing weakness...
Investing is about looking forward
Less than 20 months after it began, the bear market that engulfed the S&P 500 during the pandemic is a mere 260 points from being completely erased. The Dow Jones average eked out a gain to notch its 10th straight winning session on Friday, its longest streak in...