1 min readWatch the webcast: Click the above webcast link for episode 1 of Market Update. Hosted by Capital Advisors Group’s Head of Trading, Anthony Cucinotta. Topics covered: Recap of Recent Market Events FOMC Rate Cut and Impact U.S. 1 Month Treasury Bill Analysis COVID-19 Impact on Short-term Investors Overview of OAS Adjusted Spreads Overview of FOMC…
2 min readEconomic Shutdown We are only just seeing initial readings on the state of the post-COVID 19 economy and much will unfold in the months ahead. Data released in early April reflects the dismal reality of the large-scale shutdown of the US economic growth engine. Jobless claims have surged to record levels, with more than 22…
1 min readWe hope you are all safe during this extended period of sheltering at home. Life has changed immeasurably for most of us since February 13, when we published a report on COVID-19 and its impact on liquidity portfolios. Our comments in that report still apply, and on March 31, we provided additional valuable market intelligence…
1 min readLargest Relief Package in U.S. History Signed On Friday, President Trump signed a $2 trillion stimulus plan following a 96-0 vote in the Senate and strong support in the House. The bill extends aid through direct payments and expanded unemployment insurance to many struggling Americans, provides loans and grants to businesses, supports draining state funds…
2 min readCoronavirus While domestic economic growth began the year on solid footing, the worldwide spread of the coronavirus along with its effects on global supply chains and potential effects on aggregate demand are likely to dominate financial market movements through springtime. U.S. equity markets sank 15% last week in the fastest ever return to correction territory…
2 min readMonetary Policy Report In its semi-annual report to Congress submitted earlier this week, the FOMC stated that “The U.S. economy continued to grow moderately last year and the labor market strengthened further. With these gains, the current expansion entered its 11th year, becoming the longest on record.” The report noted that inflation remains below the…
2 min readFOMC Holds Rates Steady The Federal Reserve met last week to review monetary policy for the first time this year and to no one’s surprise, the FOMC left the overnight lending rate unchanged at the 1.50% to 1.75% range. The Fed remains in a wait-and-see mode where interest rates are concerned, saying it “judges that…
2 min readStrong Year for the Markets After trending down on Tuesday morning, markets reversed course and closed the year on a high note. While they were off their December all-time highs, the S&P 500 and Nasdaq posted their best yearly performances since 2013, rising 28.9% and 35.2%, respectively, while the DJIA had its best year since…
2 min readFinal FOMC Meeting of 2019 The Federal Reserve met on December 11th and, as expected, left rates unchanged at the 1.50% to 1.75% target range. The FOMC signaled that it has little appetite for adjustments to monetary policy in the near term, saying “the current stance … is appropriate to support sustained expansion of economic…
2 min readIn a move that was widely expected, the Federal Reserve cut rates last Wednesday by 25 basis points to the 1.50% to 1.75% range. Seven officials voted for the cut, and two (Esther George and Eric Rosengren) dissented again in favor of no change in monetary policy. Because the rate reduction had been anticipated, the…