The team at LPL Research reduced U.S. and global GDP forecasts due to Russian commodity disruptions, elevated inflation dynamics, and higher borrowing costs. Still, we expect the U.S. economy to grow 2.7-3.2% in 2022, supported by business investment and consumer services spending in the latter half of this year.
One of the biggest stories over the past few weeks has been the inversion of various points on the U.S. Treasury yield curve. Here are ten things to know about the yield curve.
As painful a start to the year as it has been for equity and core fixed income investors, it doesn’t change, in our view, the argument for more conservative investors to own core bonds in a diversified portfolio.
The Federal Reserve released the meeting minutes from its January FOMC meeting and noted inflation pressures were still too high.
Two things swirling that some investors think could hurt them down the road: The idea that higher yields and rate hikes are bad. However, it might not be so simple.
As we head into the New Year, we’re taking a look back at 2021 and drawing out three lessons that we think will matter for 2022.
It looks like interest rate hikes are almost surely coming next year, but how high and how fast the Fed will hike remains a question.
Fiscal and monetary policy played big roles in the economic recovery in 2021, but we see 2022 playing out as a handoff—from stimulus bridging a pandemic recovery to an economy growing firmly on its own.
Financial markets tend to be relatively quiet the day after Thanksgiving but this year was a notable exception. With the news that a new COVID-19 variant—Omicron—had been discovered and is spreading quickly, prices of risk assets fell and safe-haven assets rallied on Friday.
The Federal Reserve ended its two-day meeting yesterday and, as expected, there were no changes to current interest rate or bond purchasing policies. However, the Fed continues to prepare the market for a reduction of bond purchases soon to begin.
