What do rate cuts tell us about the future?
The wait is over. After four years, the Federal Reserve has cut its benchmark rate by 50 base points, bringing it to a range of 4.75% to 5.00%. This move could signal a new direction for markets in the coming months. However, for investors with a long-term strategy, these events are only part of the […]
Fed’s Monetary Policy Statement
With inflation figures moving closer to the target and a noticeable slowdown in job growth, the Federal Reserve (Fed) decided to lower the benchmark interest rate by 50 basis points (bps). This significant move had not been seen since the emergency rate cuts during the COVID-19 pandemic in 2020. Outside of those emergency situations, the last time […]
Navigating September: Understanding seasonal market trends.
We know that September has historically been a challenging month for the markets. While this month tends to be tricky, understanding the reasons behind this trend will allow you to be better prepared. Here are some key insights: In a nutshell, while September can be volatile, staying informed will help us navigate with greater confidence. […]
Understanding the market: Keys that summer taught us.
Discover the main conclusions from recent market movements and how they might impact on your investments. August presented us with a rollercoaster in the markets, starting with an initial correction followed by a fast recovery. However, behind this volatility lie important signals we need to consider: Soft landing on the horizon: Fed preparing to cut […]
Market Corrections: Turning Challenges into Opportunities.
Let’s understand market corrections and why they happen. A market correction is defined as a decline of 5-10% in a bull market. Although these events may seem like a sudden storm, they are a natural part of market cycles. Corrections can be triggered by various factors, from geopolitical tensions to disappointing corporate reports. These adjustments […]
Q2 2024 Analysis: Key Drivers of Corporate Profit Growth
With nearly 90% of the Q2 reports already submitted, we share the key takeaways of the season: EPS Growth: Uneven Performance: Despite an overall solid season, some indicators fell short of expectations. Regional Performance: Sector Results: Future Perspectives: S&P 500 Earnings Growth and S&P 500 Excluding the Magnificent 7 Source: JP Morgan
Inflation on decline: Is a rate cut on the horizon?
The Consumer Price Index (CPI) increased by 0.2% in July, meeting expectations, following a slight decrease of 0.1% in June. This reduced the annual CPI rate to 2.9%, the lowest since March 2021. Excluding food and energy, the core CPI also increased by 0.2% monthly, with an annual rate of 3.2%, remaining within expectations and […]
Possible Rate Cut: Key factors
Macroeconomic Complexity and Possible Rate Cut in September Recently, the complexity of the macroeconomic environment has made it difficult for the Federal Reserve (Fed) to maintain stable inflation and full employment. The Fed faces a dilemma: waiting too long could weaken economic growth, while a premature rate cut could impact the progress in inflation. However, […]
