JHMI News and Press, John Hancock Multifactor Industrials From 07/26/22

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...

The Dallas Fed’s monthly survey showed further deterioration in June. The reading on General Business Outlook dropped another 4.9 points MoM to -22.6; the worst reading since the spring of 2020. Expectations are similarly at some of the lowest levels in over two years, but July...

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...

Three economic reports released on Thursday point to a rising possibility that a recession is near for the US economy. Looking at a broader set of US economic data still reflects growth in terms of modeling business-cycle conditions. We may be approaching the point of no return re...

The Philly Fed's Manufacturing Business Outlook Survey is a monthly report for the Third Federal Reserve District, covers eastern Pennsylvania, southern New Jersey, and Delaware. The latest Manufacturing Index came in at -12.3, down 9.0 from last month's -3.3. The 3-month moving avera...

Two opposing forces appear to be dominating the market currently, with investors polarized between recession fears and bargain hunting following this year’s large equity selloff. Investors priced in most central bank tightening and seem more confident with the inflation outlook...

The inflation fears led to concern that the Fed would raise interest rates by a full percent when they next meet and that in turn produced selling in stocks. Non-US stocks continue to struggle and that will probably be the case until the dollar comes back down. Economies are big c...

The diffusion index for General Business Conditions at 11.2 was an increase of 12.3 from the previous month's -1.2. Since this survey only goes back to July of 2001, we only have two complete business cycles with which to evaluate its usefulness as an indicator for the broader economy...

Total industrial production decreased 0.2% in June after being unchanged in May and rising 0.8% in April. Total industrial capacity utilization decreased 0.3 points to 80% from 80.3% in May but remains above the long-term (1972 through 2021) average of 79.6%. Total vehicle assembl...

As companies adjust to inflation, rising interest rates, and a likely economic slowdown, investors are struggling to compute future earnings and the impact on stock valuations. Broadening the sources of stability can help diversify risk and return potential. Geopolitical risk and ...