Monthly Archives: October 2015

Earnings Focus of Market

The last several weeks have seen quite a bit of market volatility for a variety of reasons. We have seen uncertainty surrounding Chinese growth, as well as reactions from the Federal Reserve’s monetary policy decisions. There were concerns that disappointing corporate earnings could further compound the recent market volatility which actually drove markets lower for a few days. While it has not been easy, it is important to try and “weed through” the media noise and look at how corporations are actually performing through it all. It is also important to understand their guidance, as most companies continue to see pressure from a strong U.S. dollar as a headwind. Continue reading

FOMC Meeting Minutes Released

The Federal Open Market Committee (FOMC) released its meeting minutes from last month’s meeting, which is when they decided to “hold off” on raising interest rates. The minutes detailed how most FOMC participants still expect a rate hike by year end, but simply thought the current environment was too fragile to raise rates. Namely, the low inflation rate, which is below the Fed’s 2% target, was cited. This, coupled with the volatility in global markets due to slowing Chinese growth, were big factors in the decision to ultimately leave rates unchanged. Continue reading

U.S. Stocks Rebound after an Early Rout

U.S. stocks rebounded this afternoon after a lower opening this morning that was fueled by a weaker than anticipated jobs report. The Dow Jones reversed what started as a 258 point loss and finished the day up 200 points. The S&P 500 erased a 1.6% loss and finished higher for the 4th straight day after a 2.6% rout on Monday that left the gauge at its lowest level since August 25th. The index is coming off its worse quarter since 2011, which was primarily caused by concerns that China’s economy is cooling down and the concern that this may have spillover effects in the global economy. Continue reading