Looking Ahead to Q4
September 22, 2021
In the U.S. and abroad, investors are navigating choppy markets yet again. Global markets started the trading week deep in the red, with domestic exchanges plunging on news that the Chinese real estate conglomerate, Evergrande, could be nosediving into a debt crisis as it comes up on $300,000,000,000.00 in interest payments.
On top of this news, which was a stark reminder to investors of the Lehman Brothers collapse and the “too big to fail” establishments, Washington policy makers are firming up on a hike in corporate taxes. We are now seeing a potential rate increase from 21% to 25%.
The Federal Reserve is also expected to announce its tapering “schedule” in early November, with projected rate hikes in the back end of 2022.
All these events combined with supply chain disruptions and labor market woes have finally hit investors.
We will be monitoring the Federal Reserve meeting today and dissecting any updates on its bond purchase plans.