GBGR News and Press, Global Beta Momentum-Growth From 07/26/22

Consumer spending, industrial output, credit quality, and other indicators don’t suggest economic risk. The reduction of the deficit will contribute to the building of recessionary pressures. The best signals of a recessionary onset occur when a bulk of the yield spreads tu...

On the heels of a surprise 50-basis-point increase in the ECB’s target rate the FOMC will likely make good on another 75-basis-point increase in its target federal funds range. Governor Waller stated that he favored another 75-basis-point increase, as has St Louis Fed President...

This coming week, we will get the Fed’s view of the appropriate level of interest rates. Much of the focus will be on the interest rate number. Far less attention paid to the cause of the action. Without understanding the causes, it is difficult to comprehend whether the result...

Market views of Fed rate hikes have swung sharply. We see more volatility ahead as long as central banks think they can curb inflation without crushing growth. Yields spiked before easing after the ECB raised rates by 0.5% last week. We expect it to pause hikes before the Fed as the e...

The Fed's decision is imminent this Wednesday. While the market is pricing in a 75 basis point rate increase, it may get shocked if the Fed raises by a whole 1%. The S&P 500 is around a critical technical level, and the current rally will probably get cut short if the Fed rais...

The S&P 500 Index closed out the week ending July 22 with a gain of 2.57%. The index is also now trading above its 50-day moving average. Many other indexes are showing technical improvement as well and are trading above their 50-day moving averages. This is certainly a positive t...

The services side of the economy is considerably larger than the goods side and if it really is contracting at that rate, a recession is probably coming fairly soon. Investing is often a counterintuitive exercise and it is most counterintuitive – and hardest – at turning...

This week is packed with earnings, economic data, and a Fed meeting that should bring a 75-basis-point rate hike. Signs of a rapid economic slowdown have emerged alongside ones that indicate inflation is fading as well. Chairman Powell will set the tone on Wednesday for what could...

Investors are set to receive a deluge of information to digest in the upcoming week. Much of this news has the potential to be negative.  Even if the market is anticipating much of this negative news, it still has to absorb it. The market impact from this week's news is not l...

Financial conditions have tightened considerably, so it’s become more difficult and expensive for companies to do business. Success for the Fed may not feel so great in economic terms, but the central bank knows that we must pay this price to root out inflation. Markets wil...