Each month we highlight voices we respect from around the marketplace. Here’s what they’re saying:
- Events are changing rapidly, and that’s why we are seeing higher levels of market volatility almost on a daily basis. If you could put aside the trade disputes for a moment and just look at the fundamentals, you’d see a U.S. economy that actually looks pretty well supported and generally slowing growth abroad — but nothing that suggests a sharp downturn in the months ahead. Read more…
– Darrell Spence, CFA – Capital Group
- A near-term Fed rate cut looks likely, but we don’t think the Fed has become as dovish as many investors believe. Last week’s Fed meeting (6/18-6/19) and the accompanying press conference reinforced a generally dovish approach. Despite the fact that economic growth remains reasonably solid, a cut at the July Fed meeting now looks more likely than not. But we don’t expect an extended easing campaign. We think the Fed will more likely cut rates once or twice over the next 12 months, which could cause an increase in inflation. From that point, the Fed could then be forced to raise rates. Read more…
– Robert C. Doll, CFA – Nuveen
- There are 150,000 U.S. companies that are involved in either importing or exporting to or from China. …the big issue in the trade policy is U.S., China. …the threat of higher tariffs from the US…will ultimately lead to some kind of modest deal. Both leaders need a deal, and I think for that reason you will see them close in on a deal…in the next couple of months.
– John Savercool, UBS Americas Inc.
As always, we continue to believe that one’s circumstances and risk profile should determine the appropriate mix of investments, and not media headlines. Please contact us if you ever have any questions or concerns about your accounts or any news you hear.
Past performance may not be indicative of future results. Therefore, no current or prospective client should assume that the future performance of any specific investment, asset class, or investment strategy (including the investments and/or investment strategies recommended by the adviser), will be profitable or equal to past performance levels. Information in this commentary is gleaned from third party sources, and while believed to be reliable, is not independently verified.