Overview First, a Pause was Discussed but Eventually Dismissed In days prior to the meeting, committee members considered pausing the rate hiking campaign due to uncertainty with some regional banks. The run on deposits at some banks in the U.S. created a bit of a scare, but as the days passed, participants believed conditions were […]
Overview First, Fed Will Likely Focus on Price Stability Mandate Over Growth Investors should expect the Federal Open Market Committee (FOMC) to focus on the inflation portion of the dual Congressional mandate for price stability and full employment, i.e., the growth component of the mandate. Although the markets are still interpreting the risks within the
Three Implications of the Latest Inflation Release Read More »
Key Takeaways: Background After a turbulent descent during the pandemic, the airline industry is finally showing signs of recovering. The transition of consumer spending from goods to services has helped revive travel demand. This trend likely has staying power. According to LPL Research Chief Economist Jeffrey Roach, the share of services spending is still roughly
Key Conclusions: Housing market data and homebuilder stocks have diverged over the last several months. Rising interest rates and the subsequent spillover into mortgage rates poured cold water on the post-pandemic housing market melt-up. The national average 30-year fixed rate mortgage jumped from 3.27% at the start of 2022 to a multi-decade high of 7.35%
The debt limit—commonly called the debt ceiling—is the maximum amount of debt the Treasury Department is authorized to borrow to pay its already committed financial obligations. The amount is set through Congress and has been increased 78 times since 1960. Last raised by $2.5 trillion to $31.4 trillion in December 2021, the debt ceiling is
