Each quarter we provide an overview of the global financial marketplace and a future outlook on the market’s potential.
The third quarter ended with the stock market higher by 3.85% as measured by the S&P 500 Index. The Federal Reserve (Fed) maintained its target range for the federal funds rate at ¼ to ½ percent. When the Fed increased short-term interest rates last December (for the first time in nearly a decade), market watchers, including ourselves, described the likely slow and well calculated trajectory of future rate increases as “glacial”.read more
The status of globalization took center stage this past quarter with the United Kingdom’s June referendum (Brexit) to leave the European Union. It was the highest turnout in a UK-wide election since 1992 and fairly evenly divided, as the “leave” camp won by a 52% versus 48% margin. Stock markets dropped world-wide the day after the results but had subsequently recovered most of the initial losses within the week following the vote.read more
Investors’ concern weighed on the market early in the period as global economic growth continued to struggle, but market sentiment quickly turned to one of hope as central banks throughout the world continued to be willing to try all options to stimulate their economies with accommodating monetary policies.read more