Quantitative monetary easing is credited with boosting stock returns and boosting other speculative asset values by flooding markets with liquidity as the Federal Reserve clawed back billions of dollars worth of bonds during the crisis financial crisis of 2008 and the coronavirus pandemic of 2020 in particular. Investors and policymakers may be underestimating what happens … Read more
U.S. stocks ended sharply higher on Friday, with all three major benchmarks suffering three consecutive weeks of losses, as investors appeared to have priced in another giant rate hike of the Federal Reserve. How Stock Indices Have Performed The Dow Jones Industrial Average DJIA, +1.19% advanced 377.19 points, or 1.2%, to close at 32,151.71. The … Read more
Stocks could continue to rise early next week as investors await a major consumer inflation report on Tuesday. The consumer price index for August is one of many reports on a busy economic calendar in the week ahead, but it’s the only final data point that market strategists believe could help determine how much the … Read more
U.S. stocks rallied on Friday after data showed the U.S. economy added more than 300,000 jobs last month, perfectly in line with investor expectations. How Stocks Trade The Dow Jones Industrial Average DJIA, +0.52% advanced 332 points, or 1.1%, to 31,999. The S&P 500 SPX, +0.52% rose 45 points, or 1.2%, to 4,015. The Nasdaq … Read more
A ‘superbubble’ appears dangerously close to its ‘final act’ after the recent rally in US equities drew some investors into the market ahead of a potential ‘tragedy’, according to legendary company co-founder Jeremy Grantham. Boston-based investment. GMOs. Grantham, who has repeatedly warned investors of a market bubble, said in a paper Wednesday that “superbubbles are … Read more
A ‘superbubble’ appears dangerously close to its ‘final act’ after the recent rally in US equities drew some investors into the market ahead of a potential ‘tragedy’, according to legendary company co-founder Jeremy Grantham. Boston-based investment. GMOs. Grantham, who has repeatedly warned investors of a market bubble, said in a paper Wednesday that “superbubbles are … Read more
The U.S. stock market’s summertime rally from year-to-date lows seen in June came to a halt in August, leaving major indexes with monthly losses as investors braced for the start of a traditionally unpleasant month for bulls scholarship holders. Since 1950, September has been the worst performing month of the year for the Dow Jones … Read more
Now might be a good time to consider hiding in short-term Treasuries or corporate bonds and other defensive parts of the stock market. On Friday, Federal Reserve Chairman Jerome Powell spoke of a willingness to inflict “a bit of pain” on households and businesses in an unusually blunt speech from Jackson Hole that hinted at … Read more
Text size Stocks fell as Jerome Powell gave a short and clear message that rates will stay high for some time. Michael Nagle/Bloomberg Jackson Hole has come and gone, and the only surprise may be that the stock market was surprised. But he was surprised. The stock market started last week on its back foot, … Read more
Federal Reserve Chairman Jerome Powell’s brief but candid speech in Jackson Hole on Friday sparked a sharp sell-off in stocks and other financial assets as Wall Street reacted to his vow to bring inflation down central bank’s 2% target. The S&P 500 SPX, -3.37% finished 141.46 points lower, or 3.4%, at 4,057.74. The Dow Jones … Read more