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https://lnkd.in/ebaeb39W Bond investors are more cautious and divided over prospects for recession in the world's largest economy with the Federal Reserve poised to cut interest rates on Wednesday for the first time in more than four years. #bonds #fixedincome #interestrates

The U.S. Federal Reserve left the target range for the fed funds rate unchanged at the conclusion of its April 30-May 1 monetary policy meeting. While the decision was widely anticipated, investors were keen to learn how monetary policy may evolve from here on out. We have the latest market news from Scotia Wealth Management on our website. https://lnkd.in/gCXdhPJS #investing #calgary #yyc

In our August video, CEO Robert Conzo, CFP® and President Eric Diton discuss the implications of the anticipated interest rate cut by the Federal Reserve in September, including its potential effects on the bond market and broader economy. They break down the triggers for recent market volatility and dive into how these developments underscore the importance of portfolio diversification. Watch here: https://lnkd.in/ggZfhmev Disclosures: https://lnkd.in/ebPubVDU #InterestRates #Fed #Markets

The Fed’s decision to cut interest rates by 25 basis points (bps) on Dec. 18 was hardly a surprise. The move was predicted by almost 90 percent of economists surveyed by Bloomberg and was fully consistent with interest rate futures pricing ahead of the decision. Now what is next? #investment #wealthmanagement #wealth management #investment management

A global bond market sell-off is currently intensifying, as hopes for multiple Federal Reserve rate cuts continue to dwindle. This situation has led to a notable surge in bond yields, which carries significant implications for investors and the broader economy. Recent data indicates that the yield on the benchmark 10-year U.S. Treasury note has risen […]

🇺🇸 So much for quiet markets at year-end. Thanks Wealth DFM for reporting Quintet Private Bank’s views on the Fed ‘hawkish’ cut and the bout of market volatility it triggered. The US central bank will likely cut interest rates further. But, with high debt levels and the risk of inflationary flare-ups driven by fiscal stimulus, it should be more gradual. We recently swapped shorter-dated US inflation-protected bonds for longer-dated ones, while remaining underweight US Treasuries. We think the US, supported by fiscal stimulus, is likely to stay resilient, while Europe and emerging markets may lag, with the risk of trade tariffs creating a headwind. We see a strong US dollar in the near term and continue to favour a slight US equity overweight. You can read some of the key quotes in the article below & you find our latest analysis here: https://lnkd.in/dnSRvcnc #economy #inflation #centralbanks #foreignexchange #markets #investing

Just in case you missed the news... the US Federal Reserve (the Fed) lowered their lending rate for the first time in 4 years. The rate was lowered by 0.5%, which is significant but more important is the signal is sends to the investment markets (worldwide). A key message in this article is that we (as investors) should expect a little more volatility in the near-term.

As the FOMC meets today and tomorrow, please enjoy our latest update on the Fixed Income markets from our analyst John Fagan, CFA. With the recent inflation data coming in hotter than expected, we anticipate no action by the Fed following this meeting. #bonds #fixedincome #federalreserve #osbornepartners

A global bond market sell-off is currently intensifying, as hopes for multiple Federal Reserve rate cuts continue to dwindle. This situation has led to a notable surge in bond yields, which carries significant implications for investors and the broader economy. Recent data indicates that the yield on the benchmark 10-year U.S. Treasury note has risen […]

“The neutral interest rate Is higher than the Fed thinks.” Torsten Slok chief economist Apollo Global Management, Inc. “The FOMC has started to revise higher its estimate of where the fed funds rate will be in the long run.” “This is likely driven by upward pressures on inflation and rates from deglobalization, the energy transition, more restrictions on immigration, more defense spending, and higher levels of government debt.” 🍀 From Bloomberg via Yahoo Finance: “We’ve only seen fairly gradual slowing of the economic growth, and that would suggest the neutral rate is meaningfully higher,” said Bob Elliott CEO and chief investment officer at Unlimited Funds.” “The true level of the neutral rate, or R-Star as it is also known, has become the subject of hot debate.” “But if the market is right that the neutral rate – which cannot be observed in real time because it’s subject to too many forces – has permanently climbed, then the Fed’s current benchmark rate of more than 5% may be not as restrictive as perceived.” “Indeed, a Bloomberg gauge suggests financial conditions are relatively easy.” 🍀 And this is the dilemma. If interest rates are still too low to bring inflation down, then at the very least, we won’t see lower interest rates any time soon. They may even go higher. On the other hand, those that bet the Fed will cut interest rates soon are implicitly saying they expect a much weaker economy, which will undermine CRE credit quality. And CRE credit quality - which in simple terms is just a borrower’s ability and willingness to make loan payments- is the one thing allowing so many loans to be restructured and extended. 🍀🍀🍀