Trump and Powell Gather to Examine Economy
President Donald Trump and Federal Reserve Chairman Jerome Powell met alongside Treasury Secretary Steven Mnuchin at the White House residence. At the October FOMC meeting, borrowing costs were lowered to a range of between 1.5% and 1.75%.
Fed Chair Powell: No Signs of Bubbles
In a busy week for Federal Reserve speeches, Jerome Powell testified before the House Budget Committee and Joint Economic Committee. After three rate cuts from the central bank the monetary policy outlook is being considered heading into 2020.
Stocks Hitting Records as Yield Curve Steepens
As the yield curve steepens, equity markets are hitting record highs. The Data Analytics team at Bank of America Merrill Lynch looked at macro factors and found that rates - especially credit spreads and the 2-10 year yield curve - matter the most for US stocks. Equity and Quant Strategist Toby Wade says quote “the yield curve now explains returns for a much larger pool of US stocks.”
U.S. Bull Market Extends Record Run
The Dow, Nasdaq and S&P 500 are extending its record run to new all-time highs. The roaring bull market has rallied over 470% since it got its start in March 2009.
BofA Survey: Global Fund Managers Dodge FOMO
The latest Bank of America Merrill Lynch survey of global fund managers reflects recession fears easing as U.S. equity markets continue to hit new record highs.
Interest Rates Explore Green at SF Fed Climate Conference
The Federal Reserve is taking a closer look at the economic impacts of climate change and how to quantify climate risk. The San Francisco Fed gathers to discuss 'The Economics of Climate Change,' while the concept of a “green" or "natural" interest rate is an idea that will be presented.
U.S. Stock Markets During Election Years
In less than a year, Americans will head to the polls to vote in the 2020 presidential election. It's no secret that election years can bring uncertainty but what can historical stock market patterns tell us about the U.S. equity markets?
Strong Jobs Report Beats Expectations
The U.S. added 128,000 jobs in October, beating expectations by a long shot, despite the GM strike. The strong report supports the Fed's messaging at the economy is in a good place.
1st Public Human Spaceflight Company Now Trading on NYSE
Virgin Galactic just became the first and only publicly listed human spaceflight company. You’ll find it trading on the New York Stock Exchange, under the ticker SPCE. The company is partnering with Land Rover, Under Armor and Boeing, and says it has 600 Future Astronaut customers from 60 countries.
Goldman Sachs: We're Not Close to a Recession
Weak manufacturing data has reignited recession fears for some investors, but Goldman Sachs thinks data could start to stabilize, if not improve, somewhat soon. Chief Global Equity Strategist Peter Oppenheimer just published a note on why he thinks this extremely long economic cycle stretch on and get even longer.
Goldman Sachs Calls For Volatile October
The S&P 500 and the tech-heavy Nasdaq dropped the most in a month amid Trump impeachment uncertainties, and there could be more market moves ahead. Goldman Sachs expects a seasonal pickup in volatility in October. Equity derivatives strategist John Marshall calls it “a critical period for many investors and companies that manage performance to calendar year-end.”
Wall Street Gyrates on Uncertainty
Global markets gyrated as the implications of political developments were considered on both sides of the Atlantic. As the United Nations General Assembly got underway, concerns about an extended US-China trade war and slowing global growth weighed on sentiment.