It's no secret that this year has been characterized by market and economic uncertainty due to inflation, the Fed, geopolitics, and more. Inflation is not an overnight event but the result of supply and demand factors since 2020, compounded by monetary and fiscal policies. These facts underscore the need for investors to focus on the long run and resist the urge to react to every market movement, whether positive or negative.
The latest inflation numbers confirm that the prices of everyday goods and services are still rising despite Fed rate hikes and a slowing economy. How can investors stay patient and take advantage of attractive opportunities in the months ahead?
U.S. midterm elections take place on November 8 amid significant market, economic and geopolitical uncertainty. Inflation continues to be a top issue for voters and we are still in bear market territory. These factors make this election cycle especially heated across both sides of the aisle. However, history shows that among the many ways that elections are important, informing investment decisions is not one of them. What do long-term investors need to know in order to vote at the polling booth and not with their portfolios?
Investors have navigated a difficult market all year and the third quarter was no exception. In times like these, investors would naturally prefer to wait until it feels comfortable to invest, and even experienced investors may wonder if markets will ever turn around. This is why it's important to remind ourselves that while bear markets are unpleasant, they also create opportunities for long-term investors.
Global markets pulled back again last week following the Fed's announcement that it would tighten by another 75 basis points and keep rates higher for longer. Investors have been navigating this challenging market all year and, for many, it may feel as if there is no relief in sight. How can investors see beyond recent market swings and short-term headlines in order to achieve their long-term financial goals?
The stock market is adjusting to a new chapter in the inflation story that could keep Fed policy rates higher for longer. Tighter monetary policy also rekindles questions around whether the Fed can achieve a so-called "soft landing" as it walks the line between combating inflation and preventing a recession. How can investors remain patient and view this market environment in the right context?