... is that this is a normal bout of volatility that is part of getting good long-term returns. But since the slightly longer answer is usually more interesting, here goes…
Although stocks have logged decent ...
... important for economists and strategists but does nothing to help the person who just lost their job, their home, or both.
Stocks – Say you have a thriving business. Your customers love your product, ...
... made by investors about the path of rates. Are they headed higher? That’s usually bad for stocks and bonds, depending on the context. Are they headed lower, which could be good for markets? But are they ...
... performed so far this year:
US Large Cap Stocks: up 10.6%
US Small Cap Stocks: up 5%
US Core Bonds: down 0.7%
Developed Foreign Markets: up 6%
Emerging Markets: up 2.2%
As I just mentioned, ...
... technology allows productivity to keep rising fast, the economy should be better able to resist higher interest rates—and stocks do well in the future even as the Fed keeps rates high.
The government ...
... (and downside but let’s be positive). Stocks have a higher expected return, of course, but I’ve always hated bringing stocks into comparisons like this because it’s really a different ballgame. Anyway, ...
... it. Now, one could say that’s like owning a stock index fund except that stocks represent real companies, many of which pay dividends, and most have long track records. Maybe bitcoin becomes a true currency ...
... handful of stocks within the S&P 500 are pretty expensive compared to long-term averages while the rest of the index is more reasonably priced. JPMorgan favors large cap stocks this year but suggests buying ...
... in with expectations for bonds and plan to do the same for stocks next week.
I usually role my eyes whenever market strategists make annual predictions, but it’s part of their job and I understand that. ...
... had spent the bulk of the year on recession watch while punishing most stocks and bonds. Expectations about inflation, recession, and the Federal Reserve’s interest rate policies were the crux of market ...
... market fund or perhaps left in short-term bonds.
Areas to pull profits from might include broad market stock funds, NASDAQ-based funds, or funds that invest primarily in growth stocks. Tech and Communication ...
... a chart of five typical index funds to give you an idea of how stocks and bonds have been faring this year. As you can see, and as we discussed recently, performance has been all over the place. Analysis ...
For this shortened Thanksgiving week let’s look at where the markets are now, sort of a mid-quarter update. You’ve likely noticed that stocks have done well over the past few weeks and bonds have perked ...
... a chart illustrating this.
As I mentioned above, it wasn’t just stocks that did well last week. Bonds perked up a bit to get to about even for the year. This lagging performance has weighed on balanced ...
... risk for markets is a broadening of the conflict into a regional war. Without that broadening, the risk premium reflected by stocks, bonds, the dollar, and most of all oil will quickly retreat as is usually ...
...
US Large Cap Stocks: down 2%, up 13%
US Small Cap Stocks: down 4.7%, up 2.5%
US Core Bonds: down 3%, down 1.2%
Developed Foreign Markets: down 3.8%, up 7.6%
Emerging Markets: down 3.3%, up ...
... buy stocks if you’re thinking longer-term or consider medium-term bonds since rates have risen. Otherwise, that CD or Treasury going out a year or so looks pretty good right now if you don’t want to tie ...
The second quarter (Q2) of 2023 was great for stocks at home and abroad, with much of the positive performance coming from a small group of stocks within a few sectors. Bonds struggled to maintain positive ...
... until later. This could end up being a so-called soft-landing where the economy, on average, experiences a mild recession while some sectors get hit harder.
Liz Ann also talked about how stocks are up ...
The first quarter (Q1) of 2023 ended well for stocks and bonds, making for the second positive quarter in a row. It was a nerve-wracking time for investors, however, as bad news seemed to continually outweigh ...