Nationwide Market Insights: September Fed Meeting
Perspective on the recent announcement from the Fed and the their view on the economy, inflation, and future policy.
Capital Market Impact
Get updates on recent capital market data and trends, including possible expectations for future outcomes.
Not all inflation is alike
Prices in markets that were impacted heavily by COVID-19 remain elevated, but inflation in more “sticky” categories seem to be following historic precedent.
Sentiment shift leads to market weakness
The S&P 500® Index has declined in eight of the past 10 sessions and has brought the Index below the 50-day moving average for just the second time this year. Despite the weakness, the S&P 500 begins the week just 2.3% below the record high and has returned 19% for the year. Weakness in equities has not yet driven a flight to quality in the bond market, as the 10-year Treasury yield remains above 1.30%.
The international opportunity: Post-COVID portfolios
American equities have been the place to be for more than a decade. However, the gradual shifts of ordinary business cycles, coupled with the shock of a crisis, demand that we review international investing with fresh eyes, and suggests a shift in relative attractiveness towards international equities.
Predicting rates remains difficult
The quest for yield has pushed bond yields across the board to near-historic lows. After nearly 40 years of falling yields, predicting the direction of interest rates remains a difficult task.
Market at record highs as August marks seventh straight monthly gain
August will close with a gain of roughly 3%, the seventh-straight monthly gain. All sectors are positive year to date, led by 34% for financials and 33% for energy. Through August, the S&P 500 will have returned 21%, following returns of 18% and 31% in the previous two years.