How Will the Federal Reserve’s Quantitative Tightening Impact Markets?
Starting June 1, the Fed began reducing its balance sheet holdings of U.S. Treasuries by $30 billion a month for three months. Thereafter, it will double its reduction of U.S. Treasuries by $60 billion per month…
Have the Markets Bottomed or is it a Bear Market Rally?
With the S&P down nearly 20 percent and the Nasdaq index down nearly 4,000 points since the beginning of 2022, one could say the indices are in a bear market. While we can’t predict the future, economic indicators…
How Will the Federal Reserve React to Increasing Inflation?
The Bureau of Labor Statistic’s Consumer Price Index rose by 8.5 percent year-over-year ending March 2022, leading most economists to agree that inflation is going to be with us for a while. With inflation seeming not to…
How Will Oil Prices and Consumer Spending Impact Markets?
According to the March 2022 Short-Term Energy Outlook (STEO) from the U.S. Energy Information Administration (EIA), the forecast is for high energy prices in 2022. The report found that Brent crude oil, used as a benchmark ex-U.S.…
How Soon and Fast Will the Fed Raise Rates?
There’s much uncertainty surrounding if, how and when the Federal Reserve will raise its rates, end its bond and mortgage-backed security purchases, and wind down its balance sheet. For the March 16 Fed Meeting, the CME…
How are Commodity Prices Expected to Impact Earnings in 2022?
According to the World Bank, there’s a mixed picture for commodities in 2022.Globally, prices for crude oil are expected to hit $74 per barrel during 2022, compared to 2021’s…
How Will Increased Tapering Impact Markets in 2022?
According to a Dec. 15 Federal Open Market Committee (FOMC) statement from the Federal Reserve, the federal funds target range will remain at 0 percent to 0.25 percent. Beginning in January, the FOMC will reduce its monthly…
Fed Chair Nomination in 2022: How Will it Impact Markets?
As the Board of Governors of the Federal Reserve System points out, Jerome Powell was appointed to a four-year term on Feb. 5, 2018. With the Fed Chair’s term expiring in February 2022, there has been much uncertainty…
Will the Natural Gas Squeeze Derail the Recovery?
Energy is expected to increase in price as 2021 closes and 2022 begins, according to the Oct. 13, 2021 Short-Term Energy Outlook (STEO) from the U.S. Energy Information Administration (EIA).
Does the Fed’s Beige Book Forecast Negative Market Headwinds?
According to the Sept. 8, 2021, release of the Federal Reserve’s Beige Book, the U.S. economy is facing many headwinds.