From the desks of Stanley Katz & Lauren Madera
STAY SAFE & HEALTHY!
Carly Simon’s song, “Anticipation,” is a great metaphor for what occurred this week with the Fed’s announcement of a 0.25% increase in interest rates and the subsequent market reaction (i.e., DJIA: -1.24%, S&P 500: -0.79%, Nasdaq: +0.07%). With inflation continuing to plague the economy, the question the Federal Reserve faces is whether to pause further interest rate hikes or carry on. Currently, the unemployment rate sits at 3.4% — the lowest since May 1969! And year-over-year hourly earnings are up 4.4%. Liz Ann Sonders from Schwab has some interesting tidbits for you to chew on in her piece titled “Pause? Fed Hikes, But Leaves Door Ajar for More.”
Throughout the past few years, ClientFirst’s exposure to global and international stocks has remained fairly low. We are determining whether to increase it. As part of our due diligence, we have contacted a number of research partners (like American Funds, T. Rowe Price, JP Morgan Asset Management, and BlackRock) to assess potential risks, opportunities, and investment approaches to express our view. Click the Capital Group link below for more on this topic. Note: This research piece was not the sole impetus behind our thought process.
Below are links to a number of third-party research reports that we have read and analyzed over the past week. We hope you will find the information interesting, useful, and worthwhile.
Goldman Sachs Asset Management:
James Investment Research:
Stanley Katz & Lauren Madera, Financial Advisors
ClientFirst Financial Strategies, Inc.
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