Low interest rates

Weekly Update

2023 Outlook – Part 1

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Published December 9, 2022

 

The 2023 market outlooks are beginning to flow. Below is an overview of next year possibilities put together by Delta.

“Since the Great Financial Crisis (GFC, 2008-09), the stock market trended higher on low interest rates, double digit GDP growth in China, and robust non-cyclical growth from the major technology companies. What would happen if the Fed Funds rate jumped from zero to 4% in a single year? What would happen if China’s GDP growth became hobbled by non-stop Covid lockdowns? What would happen if big-cap technology stocks stopped offering consistent earnings growth and became the worst performing major segment of the U.S. stock market? (more…)

Weekly Update

Finding Fuel for a Future Rally

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Published February 11, 2022

 

In the face of a fair amount of gloom as the stock market continues struggling to find traction, we turn to a positive piece from our friends at DIM. They walk through some of the supports for the stock market that, over time, might provide some lift once interest rate outlooks settle down. (more…)

Weekly Update

And Again … the Stock Market Finds Buyers

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Published September 3, 2021

The S&P 500 has spent ten straight months above its 50-day moving average, one of history’s longest stretches of calm. Ultra-low interest rates from an extremely cautious and accommodative Federal Reserve have supported risk-taking investors by keeping the cost of money near zero. Very strong corporate earnings have rewarded investors by expanding the ‘E’ in the P/E ratio, justifying the market’s run upward. (more…)