Is Big Tech’s dominance over?
Surging tech stocks drove returns during the pandemic, but rising interest rates may pressure their earnings.
Capital Market Impact
Get updates on recent capital market data and trends, including possible expectations for future outcomes.
Rally continues as investors hope for a soft landing
Technical indicators are increasingly supportive, as the S&P 500 has been above the 200-day moving average for a week, and the 50-day moving average will likely break above the 200-day moving average (“golden cross”) for the first time since last March in the next few days. Institutional investors and hedge funds remain conservatively positioned, and money market assets are at record levels. Wall Street strategists are also notably bearish, with the average estimate for the year-end S&P 500 below the current level, indicating that those numbers could be revised higher, the market is ahead of itself, or a combination of the two.
A good time for a risk check-up
After a difficult year in the markets, now is a good time to re-align your portfolio with your risk tolerance.
Markets pause on investor confusion
Equity markets took a breather following a strong start to the year, as the soft-landing narrative came under increased scrutiny following macro data and modestly disappointing earnings. Additionally, a contentious debate over the debt ceiling has some investors concerned about the politicization of default fears. The S&P 500® Index lost nearly 1% for the week, though the market remains 3% higher for the year.
The good, the bad, and the volatile
Last year was one of the worst for stocks and bonds, but volatility has historically been low over the long term.
Cycle Watch | January 2023: Putting off a recession for now
Inflation fell for the sixth consecutive month in December after reaching a four-decade high in 2022. The Fed could soon stop its rate increases if inflation continues to ease.