Here are five things you must know for Monday, April 11: 1. — Stock Futures Edge Lower, Oil Prices Slide U.S. equity futures edged lower Monday, while Treasury bond yields and the dollar contin...
Tag: Federal Reserve
Inflation Is Here to Stay. How to Adjust Your Portfolio.
Inflation is rampant and ubiquitous today, from the gas pump to the grocery store. The U.S. consumer price index has quadrupled in the past year, from a 1.7% annual rate in February 2021 to 7.9% this ...
Stocks Rise As Investors Try To Shake Off Inflation Fears, Recent Fed Comments
Topline The stock market moved slightly higher on Thursday—clawing back some of its losses from earlier this week—as investors continued to assess recent comments from Federal Reserve officials on the...
Federal Reserve Hints At Bigger Rate Hikes Ahead, Outlines Plan To Shrink Balance Sheet
Topline With numerous Federal Reserve officials sounding the alarm on inflation, minutes from the central bank’s latest monetary policy meeting released Wednesday hinted at bigger interest rate hikes ...
More Fed Officials Are Sounding The Alarm On Inflation And Spooking Markets
Topline An increasing number of Federal Reserve officials have recently spooked markets by warning about the economic impact of decades-high inflation and how the central bank will need to aggressivel...
Why Was the Stock Market Down Today? A Fed Official’s Speech Tanked the Market.
Text size Federal Reserve Gov. Lael Brainard said she expects policy to return “to a more neutral position later this year.” Drew Angerer/Getty Images Tech stocks and bond markets both sold off on Tue...
Major Bank Is First To Forecast A Recession—More Could Follow
Topline An increasing number of Wall Street experts are now forecasting a possible economic downturn on the horizon, with alarms growing louder after the widely-observed yield curve inverted last week...
Cathie Wood Urges Caution About Fed Raising Rates
The asset manager Cathie Wood, chief executive of Ark Wealth Management, has expressed opposition to much more in the way of interest-rate increases from the Federal Reserve. Her thoughts came in a we...
Real Yields Show Where the Stock Market Is Really Headed
Text size No one knows if even an accelerated pace of rate increases is enough to eliminate inflation—or what it will do to stocks. Spencer Platt/Getty Images The stock market’s greatest fear is comin...
Inverted Yield Curve Could Be Sending a Bogus Recession Warning
No topic has dominated the investment conversation lately as much as the yield curve. While it’s an arcane matter to most folks, we in the financial sphere have been thrown into a tizzy by this indica...
Stocks for the Recession That May—or May Not—Be Coming
Text size Exelon stock offers a little bit of offense to go with its defense. Dreamstime The yield curve briefly inverted this past week—and that’s a recession signal that is either like Paul Revere’s...
Housing Market Faces a World of Pain
Several ominous signs face the housing market. First, the average 30-year fixed-rate mortgage soared to a three-year high of 4.67% in the week ended March 31, according to housing agency Freddie Mac. ...
The Fed Has Begun Raising Interest Rates. Here’s When It Will Start to Cut.
Text size The Fed is battling inflation. Gasoline prices are a big part of the problem. Joe Raedle/Getty Images Financial markets deserve their reputation for focusing on the future. Investors are loo...
Treasuries Are Getting Crushed. It Might Continue for a Long Time.
Text size Photograph by Alex Wong/Getty Images The price of Treasury bonds has plummeted recently. That could be just the start of a painful road ahead for bond investors. The price of bonds decline ...
The Supply Chain Is No Place For Cowboy Rhetoric
“The Fed is no longer assuming supply-chain problems will heal through the year,” chair of the Federal Reserve, Jerome Powell, said last week. Later he commented, “If we knew now that these supply blo...
Bank Earnings Are Coming. One Stock Analysts Like—and Another They Say to Sell.
Text size Analysts say Bank of America is positioned to do well in the current economy. Stephen Chernin/Getty Images With bank earnings coming in a few weeks, Bank of America is looking like a winner ...
Bonds Hint Recession As 50 Basis Point Fed Hike Bets Accelerate
U.S. Treasury bond yields were active again Monday, with benchmark 10-year notes breaching a key technical level that could triggered renewed bets on a near-term recession in the world’s biggest...
M&T Bank Stock Looks Like a Buy
Text size Citigroup’s Keith Horowitz’s price target of $220 on M&T Bank shares suggests 20% upside from Friday’s close. Daniel Tepper/Bloomberg Like a child waiting for a birthday present only to ...
Goldman, BofA See Fed Going Big on Rate Hikes
Federal Reserve Chairman Jerome Powell made clear in a talk this week that he’s open to 50-basis point increases in interest rates, if necessary. The Fed is reacting to rampant inflation, with consume...
If the Fed Pulls This Off, It’s Party Time
Text size College students party at the beach during spring break on South Padre Island, Texas. Brandon Bell/Getty Images Party like it’s 1994? Rather than 1999, the year made famous by Prince’s purpl...
Stock Market Gets Boost From Bond Selloff. Time to Sell the Rip?
Text size NYSE The Federal Reserve is talking tough about fighting inflation—and the stock market loves it. Don’t expect equities to be so relaxed if Powell & Co. act on their words. The S&P 5...
Why Housing May Not Get as Hammered as Usual in This Rate Hike Cycle
Traditional home buyers are sure to be pinched by rising mortgage rates, but better-financed investors could keep prices rising. Here, a home for sale in Houston last summer. Brandon Bell/Getty Images...
Wall Street Firms Are Slashing S&P 500 Price Targets—Here’s What They Predict For Markets
Topline A majority of Wall Street’s biggest firms have recently been slashing their S&P 500 forecasts for this year, predicting lower stock market returns as the Federal Reserve raises interest ra...
Housing Crisis: Why 40-Year Mortgages Might Help Delinquent Borrowers
Text size Illustration by Laurent Duvoux About the author: Patrick Harker is the president and CEO of the Federal Reserve Bank of Philadelphia. The Covid-19 pandemic is not over. But many of the pande...