EFA News and Press, iShares MSCI EAFE From 10/18/22

Summary Global GDP growth is still expected to be positive in 2022 (excluding Russia) but is expected to fall fairly dramatically in 2023. The U.S. Q3 2022 earnings season has just begun, and the outlook is for lower but still positive revenue and earnings growth. Inflation wi...

Summary Global economic output contracted for a second straight month in September, adding to signs that businesses around the world are reporting the toughest conditions outside of pandemic lockdowns since the global financial crisis. Manufacturing is being hit by rising prices, ...

Summary Several developed country central banks face a credibility problem against the combination of high debt and high inflation. Why energy shortages are likely to contribute to recurring inflation. The US Treasury market is facing considerable liquidity problems. Thi...

Summary Elevated inflation, currencies, slowing global economic growth expectations, and reduced central bank liquidity remain key economic considerations. Volatility measured by the VIX spiked in September after declining in August. This wall of worry is real, but it is impor...

Summary Significant drops in price this year have erased years of built-up gains, and now a lot of areas of global financial markets are looking at double-digit percentage declines going back to the late 2010s. The major US index ETFs are sitting on 20%+ declines in 2022, but they...

Summary The new regime poses an unavoidable trade-off for central banks: tame inflation by hiking or preserve growth. We see them overtightening rates, so keep risk low. UK gilt yields reached 14-year highs before the Bank of England intervened to halt the selloff. Yields on 10-ye...

Summary U.S. equity markets and bond markets slid this week - deepening a historic year-long rout - as Federal Reserve officials doubled down on hawkish rhetoric despite increasingly-apparent tremors of market instability. Closing the month and quarter at the lowest levels in two ...

Summary My allocation remains the same. June lows have been taken out. Possible demand zone for SPY is identified. In this month's article I outline why I am maintaining my October's allocation to the SPDR S&P 500 ETF ( SPY ) at 40% with the other 60% of my a...

Summary Saving early and regularly, investing wisely, and budgeting your expenses (keeping them less than your income) are some essential elements of successful retirement planning. Setting your goals early in life, saving as much as possible, and investing for the long term are t...

Summary We believe it is unlikely that Fed Chair Jerome Powell will navigate a pivot to a less-hawkish stance before early in 2023. We expect China to grow at a meager 2%-3% pace in 2022, with the potential for these risks to bleed into 2023, as a slowing developed-market consumer...