The Fed remains committed to extraordinarily accommodative monetary policy.
In case you missed it, check out the replay of September's Market Insight Call! Brandon Thomas, Chief Investment Officer of Envestnet, gave his update on the current state of the economy and also a preview on what investors can expect as the upcoming presidential election is just around the corner.
The passing of Supreme Court Justice Ruth Bader Ginsburg has created a vacancy in the U.S. Supreme Court with only weeks until the November election. As the country awaits President Trump’s nominee, pundits on both sides of the aisle are claiming this process will strengthen their election chances. We see this process as primarily exacerbating the partisanship of U.S. voters and it is unclear which party will able to drive greater voter turnout or sway more independents
On September 16, 2020, the U.S. Federal Reserve (Fed) left interest rates near zero and signaled that it expects to hold them there through at least 2023, adding outcome based guidance. The statement follows the new long-term policy framework announced by Chair Jay Powell in August at the Federal Reserve Bank of Kansas City’s annual Jackson Hole conference. The Fed notes that rates will remain near zero “until labor market conditions have reached levels consistent with the Committee’s assessments of maximum employment and inflation has risen to 2 percent and is on track to moderately exceed 2 percent for some time.” We didn’t get a precise definition of what a moderate overshoot would look like, allowing the Fed to retain some flexibility.
There are significant differences in the sector exposures of U.S. and developed international stock indices. U.S. investors may consider looking abroad as a way to diversify their portfolios.
While the equity markets hover at – or are making new – all-time highs, the other three stool legs of investments get only marginal attention.
The first debate between President Donald Trump and former Vice President Joe Biden will take place on Sept. 29 — the first of three debates scheduled to take place before Election Day on Nov. 3.
Equities have rallied, the economy is recovering, and we are learning to live with COVID-19, all of which is good news.
Weekly Fixed Income Commentary: Treasury yields increase slightly as the Fed keeps asset purchases steady
Most U.S. Treasury yields increased modestly last week, led by longer maturities.
China’s rapid post-pandemic recovery looks tempting, but relations with the U.S. will get worse regardless of who wins the White House.
Stocks fell for a third straight week for the first time in nearly a year. Mega-cap technology stocks again fell notably, with several high-profile names dropping close to 5%.
Review the performance of global stock and bond markets over the past week, along with relevant insights from T. Rowe Price economists and investment professionals.