SMLE News and Press, Xtrackers S&P SmallCap 600 ESG ETF From 10/07/22

Summary It’s the final quarter of the year, and we’re in the midst of a nasty market crash. It wouldn’t be such a big deal to see stocks getting beaten up so bad if it weren’t for the fact that bonds have been pummeled as well. Part of the problem w...

Summary Estimates of growth for Q3 range from 1.4% from the Conference Board and the Survey of Professional Forecasters to 2.7% from the Atlanta Fed GDPNow forecast. Overall, while there may have been a drop in the number of job openings, there remain 1.8 jobs for every unemployed...

Summary Employment growth is cooling but still above trend. The jobs report did not change any economic trends but was "good enough" for the Fed to keep raising rates. The market expects the Fed Funds rate to be 4.6% by March 2023. More rate hikes + more growth slowing = m...

Summary U.S. nonfarm payrolls added 263,000 jobs in September, less than the 315,000 gain in August. Over the 13 months from January 2021 through February 2022, the average monthly gain was 544,000; for the five months from March 2022 through July 2022, the average was 376,000; an...

Summary Stocks fell sharply following a hotter than expected jobs report. The next big hurdle will come next week with the CPI report. The dovish pivot camp needs to call it quits already. Another Fed pivot attempt has been denied. The market is learning the hard way tha...

Summary From over-exuberance in 2021 to a widely-shared prophesy of doom in 2022, markets are as you know always overreacting one way or the other. We find ourselves puzzled as to the generally miserable outlook amongst investors at present. All news whether good or bad is usu...

Summary In this article, we assess how tricky the market environment has become as the Fed is fighting inflation in a growth-slowing environment. Unfortunately, economic numbers are still too strong for the Fed to communicate a potential pivot. Hence, the problem is that we ne...

Summary The equity market rebound this week has triggered a new series of calls for a bottom. Bottoms rarely form when investors expect them. The rebound this week benefitted the energy sector the most. Inflationary pressures remain strong in addition to geopolitical risks...

Summary Investors can throw out projecting an end of fed fund rate increases based upon inflation, unemployment, or other macroeconomic factors. The end of Fed tightening will come when something breaks. Cracks are forming. My biggest concern is that further tightening will test t...

Summary Atlanta Fed President Raphael Bostic on Wednesday suggested a pivot may come after two more rounds of rate hikes at the upcoming Nov. 2 and Dec. 14 FOMC meetings. The Fed funds target rate is currently 3.0%-3.25% and Fed funds futures are pricing in high odds that it will ...