Category: Investment Commentary

The Fed’s Dilemma and How It Affects Your Investments

It has been a wild couple of days since the Fed cut interest rates by 0.25% at their July 31st meeting. As the market was struggling to interpret Jerome Powell’s intentions, President Trump helped ensure the next rate cut by announcing a new round of 10% tariffs on the remaining $300 billion of Chinese imports. Followed by China allowing its currency (the Yuan) to fall below 7 CNY to 1 US Dollar, a key psychological… Read More

Fed Pause and Trade Optimism Boost Markets… Overbought or More to Come?

There has been a dramatic shift in the probability of further rate hikes by the Fed, and as we near the midpoint of February, the markets have behaved much like they did in the beginning of last year. Investor appetite for risk has increased and volatility has recessed, as higher returning sectors such as small cap stocks, emerging markets, and junk bonds have all resumed leadership versus their higher-quality counterparts. Read More