Often equity investors take their cues from the bond market.
The rapid rise in Treasury yields since the Federal Reserve cut interest rates by 50 bps on September 18 defies conventional wisdom and is worth keeping an eye on. We believe the rapid rise in yields is because
- Investors are (rightly) concerned about the potential for an accelerating Federal deficit and
- The Fed will cut rates slower than anticipated.
This same scenario played out in April (albeit at higher Treasury yields) so there is a playbook to reference.
We’re also only 11 days away from the election! There might be volatility ahead in November but remember market lows can also become your investment highs in the long-term.
Curious how to “insulate” your portfolio from potential impacts to trade policy with the upcoming election? I discuss one of our more recent stock picks, a name you don’t see covered that often, with Charles Payne on Fox Business News today.
See today’s interview with Charles Payne from Fox’s Making Money to hear more insights ⬇️⬇️
