The Fed, One and Done
By Kelvin Lee, Alonso Munoz We expect the Fed to hike rates by another 25-basis points at today’s July meeting. Just a reminder, we (rates) are already in restrictive territory, and today’s decision will bring the FOMC target range up to 5.50%. Since the beginning of this tightening cycle, the Fed has raised rates 550 […]
The Fed: A Lose-Lose Decision
By Kelvin Lee, Alonso Munoz 1:35PM EST In roughly 20 minutes, we expect the Federal Reserve to raise rates by 25 basis points, bringing the target range to 4.75% – 5%. The decision for the fed to either raise rates or pause will be significantly challenging as bank stability and high inflation are now troubling […]
The Omicron Saga
The past 5 trading days were volatile. It seemed as if market participants were waiting for some form of bad news to justify selling portfolio positions. And they got it with reports of a new Covid variant dubbed Omicron. The tech heavy NASDAQ Composite was off more than -2.5% last week. The 10-year government bond […]
Dissecting the Most Recent FOMC Minutes
During its most recent two day meeting, the FOMC discussed the domestic economy, markets, interest rates and its asset purchase program. Key takeaways from the meeting: 1) The economy continues to improve, but there are still millions of unfilled jobs. Employment, according to the Fed, is a key metric in determining an appropriate time to […]
