Posts by Celeste Orozco
LPL RESEARCH PRESENTS outlook mid year 2022- Midterms’ arrival affects policy outlook
Midterm elections are often a balancing act for voters, historically tilting heavily against the sitting president’s party. Since 1900, the president’s party has lost House seats in midterms 87% of the time, averaging 30 seats lost (remember, all House seats are up for re-election in midterms). In the Senate, where only about one-third of seats…
Read MoreLPL RESEARCH PRESENTS outlook mid year 2022- Clearer Skies for Core Bonds
The value proposition for core bonds (as defined by the bonds within the Bloomberg Aggregate Bond index) is that they tend to provide liquidity, diversification, and positive total returns to portfolios. Unfortunately, none of those values is 100% certain all the time. Like all markets, fixed income investing involves risks and, at times, negative returns.…
Read MoreLPL RESEARCH PRESENTS outlook mid year 2022- Equities Face Heavy Cloud Cover
Stocks will face a number of headwinds in the second half of the year, but the amount of turbulence will likely depend on the pace at which inflation falls. It’s tough to see the bull case through the cloud cover right now, and volatility may persist, but an improved macroeconomic environment may set the stage…
Read MoreLPL RESEARCH PRESENTS outlook mid year 2022-Midyear Downshift for Macroeconomic Environment
Economic growth will likely downshift in the latter half of 2022, reflecting a slowdown in real spending as a consequence of elevated, persistent inflationary pressures. Recession risks are increasing but our base case is no recession this year as consumers, particularly the upper-income ones, can sustain spending patterns from income growth, excess savings, and…
Read MoreLPL RESEARCH PRESENTS outlook mid year 2022- Navigating Turbulence
Markets rarely give us clear skies, and there are always threats to watch for on the horizon, but the right preparation, context, and support can help us navigate anything that may lie ahead. So far, this year hasn’t seen a full-blown crisis like 2008–2009 or 2020, but the ride has been very bumpy. We…
Read MoreIs There Any Value Left in TIPS?
Posted by Lawrence Gillum, CFA, Fixed Income Strategist July 12, 2022 The consumer price index (CPI) is scheduled to be released on Wednesday and it is widely expected that the headline inflation number will again resemble consumer price increases last seen in the early ‘80s. Currently, consensus expectations are for headline inflation numbers, which include food…
Read MoreWhy You Shouldn’t Sell Your Stocks in May This Year
“Sell in May and go away” is probably the most widely cited stock market cliché in history. Every year a barrage of Wall Street commentaries, media stories, and investor questions flood in about the popular stock market adage. In this week’s Weekly Market Commentary, we tackle this commonly cited seasonal pattern and why it might…
Read MoreHere Comes the Best Month of the Year- Posted by lplresearch
Wednesday, March 30, 2022 After one of the worst starts to a year ever for stocks, March has seen a huge bounce. Incredibly, the S&P 500 Index is only about 4% away from new all-time highs. The big question is can the near-term strength continue? “The good news is stocks really appear to love April.…
Read MoreLPL RESEARCH PRESENTS outlook 2022- Conclusion
Success requires ability, precision, and of course, teamwork. A relay race combines stretches of extraordinary individual effort with brief moments of coordinated teamwork, in which fractions of a second can be equivalent to the physical difference between a champion and an also-ran. Federal, state, and local governments—usually better suited for the role of timekeepers or…
Read MoreAre Long-Term Rates Setting Up for a Huge Move?
Posted by lplresearch Friday March 11, 2022 Consumer inflation hit a 40-year high according to data released yesterday; however despite the increased levels of inflation, interest rates have stayed stubbornly low. In fact, despite rising about 26 basis points (0.26%) since the beginning of March, the yield on the 30-year US Treasury is basically…
Read More