Bad Enough to be Good 10-07-15

Up until recently, stocks were falling since market participants feared that the Fed would misread the economic situation and tighten when it should perhaps even ease. Last Friday’s employment report, however, looked so decidedly weak that it sparked investor hopes that Janet Yellen and company would reconsider plans to hike interest rates soon.   Read more about Bad Enough to be Good 10-07-15

Tough Quarter Ends on Positive Note 09-30-15

U.S. stocks rallied today after a poor start to the week. After the Fed’s mid-month inaction vis-à-vis interest rates and its warning about overseas economic malaise, the S&P 500, the widely-followed broad-market index, fell more than 5 percent in less than two weeks. Professional investors tend to re-position their portfolios near quarter-end; that factor likely added to recent volatile action. It appears after the latest selling wave, bargain hunters have returned to scoop up stocks.  Read more about Tough Quarter Ends on Positive Note 09-30-15

Market Sentiment Remains Dour 09-23-15

No interest rate change. That’s the decision announced by the Federal Open Market Committee (FOMC) last Thursday afternoon. All but one of the ten committee members who voted agreed to keep the federal funds rate at its current rock-bottom level. The lone dissenter, Jeffrey Lacker, head of the Richmond branch of the Fed, feels that current economic conditions warrant an immediate rate increase. Read more about Market Sentiment Remains Dour 09-23-15

FOMC on the Menu 09-16-15

The long-awaited Federal Open Market Committee meeting takes place today and tomorrow. The Fed will announce its policy decision tomorrow afternoon. The key question on investors’ minds, of course, is whether Janet Yellen and her lieutenants will finally raise the federal funds rate, the overnight lending rate banks charge each other for the reserve funds held at the Fed. It serves as an important benchmark in financial markets and impacts just about every interest rate in the real economy. Read more about FOMC on the Menu 09-16-15