Last week's report on the country's GDP for the second quarter confirmed that the economy shrank in the first half of the year. Broad-based inflation, rising energy prices, higher interest rates, and other factors were a drag on growth for the second consecutive quarter. With clear signs that growth has slowed, how should long-term investors react?
The Fed is caught between a rock and a hard place as it tries to balance historic inflation levels with a slowing economy. There are wide-ranging implications for investors, especially with the stock market at attractive levels. What do long-term investors need to know about the economic situation to position for an eventual recovery?
Recent economic reports show that inflation continues to accelerate. Not only does this impact consumers' wallets but it also has wide-ranging implications for corporations, the broader economy, and investment portfolios. However, while expenses are increasing for consumers and businesses, inflation also allows corporations to raise prices. How can investors focus on both sides of this equation?
As the economy responds to inflationary pressures, investors continue to struggle with daily price swings across the stock market. In challenging markets such as these, long-term investors can use valuations as a North Star to guide them over the coming years and decades. Find out what valuations tell us about long run returns today.
As we enter the second half of the year, investors continue to grapple with inflation, higher interest rates, the Fed, and the prospect of a recession. Investors should consider what will matter to markets over the next several months as they position for the years and decades ahead.
Energy prices have been a major factor driving inflation higher this year. Discover what investors should know about energy prices as they position for the next phase of the market cycle.