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A rate cut will be bad news for stocks, JPMorgan warns
  + stars: | 2023-10-19 | by ( ) www.cnbc.com   time to read: 1 min
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailA rate cut will be bad news for stocks, JPMorgan warnsA cut in interest rates by the Federal Reserve next year is likely to be bad news for U.S. equity investors, according to Hugh Gimber, global market strategist at JPMorgan Asset Management.
Persons: Hugh Gimber Organizations: JPMorgan, Federal Reserve, Asset Management
A man looks at an electric board displaying the Nikkei stock average outside a brokerage in Tokyo, Japan June 14, 2023. Overnight the S&P 500 (.SPX) had climbed 1%, while oil prices and the U.S. dollar had fallen. Benchmark 10-year Treasury yields are about 15 basis points off 16-year highs, though they crept higher in Asia trade Tuesday to 4.7331%. The euro traded at $1.0549 and the yen hovered just short of the 150-per-dollar mark at 149.53. If investors don't receive the coupon payment, all of Country Garden's offshore debts will be deemed in default.
Persons: Kim Kyung, Kerry Craig, Goldman Sachs, Morgan Stanley, Johnson, Craig, Joe Biden, Israel, Israel's shekel, Bitcoin, Selena Li, Shri Navaratnam Organizations: Nikkei, REUTERS, Tokyo's Nikkei, U.S ., Morgan Asset Management, Bank of America, Johnson, Netflix, Federal Reserve, Israel, Hamas, Iran's, HK, Brent, BlackRock, Thomson Locations: Tokyo, Japan, HONG KONG, U.S, Asia, Pacific, Gaza, Iran, Zealand, Brent
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailThere will be a 'very meaningful repricing' in corporate credit risk, says JPMorgan's Oksana AronovOksana Aronov, JPMorgan Asset Management head of market strategy and alternative fixed income, joins 'Squawk Box' to discuss the latest market trends, the state of the economy and impact on rates, the Fed's inflation fight, and more.
Persons: JPMorgan's Oksana Aronov Oksana Aronov Organizations: JPMorgan Asset Management
How to Invest in Mutual Funds
  + stars: | 2023-10-11 | by ( Mallika Mitra | ) www.wsj.com   time to read: +20 min
Mutual funds are relatively cheap and simple to invest in, thanks to the many trading apps and online brokerages available nowadays. To get started, read on for our 10-step guide on how to invest in mutual funds. Once you open an account, you can invest in a wide range of securities, like stocks, bonds and mutual funds. Buy mutual fund sharesNow that you’ve solidified your strategy and done your research, you are almost ready to buy mutual funds. How to buy mutual fund sharesSome mutual funds require an investment minimum, often between $500 and $3,000, but not all do.
Persons: Mallika Mitra, Tricia Rosen, , Rosen, , Ameritrade, Roth, Roth IRAs, Uncle Sam, you’ve, Randy Bruns, it’s, Morningstar, Russell, hasn’t, Amy Arnott, John Bogle, Morningstar’s Arnott, pitfall Arnott, You’ll, you’ll, Don’t, Sam, haven’t Organizations: Mutual, Fidelity, Vanguard, Morningstar, SEC, Apple, Fidelity Investments Fidelity, Target, Walmart, Funds, Capital Group, Capital Group’s, The Securities, Exchange Commission, Social, Consumer, Morgan, Capital Locations: Andover, Mass, Naperville , Illinois, U.S
Jamie Kelter Davis | Bloomberg | Getty ImagesA recession has been in the forecast for much of 2023. "A recession is obviously going to happen at some point," said Jack Manley, global market strategist at JPMorgan Asset Management. Those factors may prompt the Federal Reserve to keep interest rates higher for longer, Aleman said. Experts say the key is to automate your savings so you do not even see the money in your paycheck. Another advantage to saving now: Rising interest rates mean the potential returns on that money are the highest they have been in 15 years.
Persons: Jamie Kelter Davis, Jack Manley, , Eugenio Aleman, Raymond James, Aleman, Manley, Barry Glassman, CNBC.com, Glassman, Mark Hamrick, Matt Schulz, Schulz Organizations: Bloomberg, Getty, Asset Management, National Association for Business Economics, Finance, Federal Reserve, Wealth Services, CNBC's, Bankrate Locations: Chicago
Asia shares pick up after Fed rate comments; oil dips
  + stars: | 2023-10-10 | by ( Kane Wu | ) www.reuters.com   time to read: +4 min
U.S. stocks ended higher on Monday, with energy shares rising along with oil prices. The S&P 500 energy index (.SPNY) ended up 3.5%. Oil prices eased after climbing more than 4% on Monday. "The unrest and volatility in the near-term suggest that upside risks to oil prices will persist," said OCBC economists in a note. This will lead to some volatility in oil prices during intense periods of conflict but should see prices normalize, following the knee-jerk reaction."
Persons: Androniki, Kerry Craig, Australia's, Brent, Kane Wu, Stella Qiu, Edmund Klamanhn, Kim Coghill Organizations: Nikkei, REUTERS, dovish, Top Fed, Hamas, Asset Management, Garden Holdings, HK, National Bank of Australia, U.S, West Texas, Thomson Locations: Tokyo, Japan, HONG KONG, East, Europe, U.S, Asia Pacific, China, Israel, Palestinian, Gaza, Hong Kong, Sydney
MSCI's gauge of Asia Pacific stocks outside Japan (.MIAPJ0000PUS) was up 1.2% at 0135 GMT. Japan's benchmark Nikkei average (.N225) rose 2.4% while Australia's S&P/ASX 200 (.AXJO) rose for a fourth straight session to gain 1.2%. Top Fed officials indicated on Monday that rising Treasury yields could steer the Fed from further rate increases, helping to spur a rise in bond prices after those markets had been closed the previous day in the U.S. and Tokyo. The markets' initial reaction to the major geopolitical developments in the Middle East was a bout of risk aversion, analysts from National Bank of Australia said in a note. Ten-year Treasury yields , which have been surging, fell more than 13 basis points to 4.6% at the open in Tokyo as bond prices rallied after Monday's holiday.
Persons: Androniki, Australia's, Kerry Craig, Brent, Kane Wu, Stella Qiu, Edmund Klamanhn Organizations: Nikkei, REUTERS, dovish, Top Fed, Tokyo ., Hamas, Asset Management, Garden Holdings, HK, National Bank of Australia, U.S, West Texas, Thomson Locations: Tokyo, Japan, HONG KONG, Asia Pacific, U.S, Israel, Palestinian, Gaza, Hong Kong, Sydney
Yahoo FinanceHowever, six leading fixed income investors are confident that the pain won't last much longer. Michele continued: "I've been doing this since 1981, so I've seen a decade of double-digit bond yields with disinflation. Alex Petrone, the director of fixed income at Rockefeller Asset Management, agreed that it's too soon to write off a recession. Nailing timing helps maximize returns, though fixed income experts said that's difficult because the Fed's policy decisions are unpredictable. Buying Treasuries and municipal coupons on both the long and short ends of the curve are how she recommends playing fixed income.
Persons: Jonathan Mondillo, you've, Bob Michele, Michele, I've, we'll, Federal Reserve —, Robert Robis, Robis, Alex Petrone, it's, Petrone, Mary Daly, David Schiffman, Roger Aliaga, Diaz, Aliaga, Mondillo, Schiffman Organizations: Yahoo Finance, JPMorgan Asset Management, isn't, Federal Reserve, BCA Research, Rockefeller Asset Management, Fed, San Francisco Fed, Aquila Investment Management, Vanguard's Investment, Investment Locations: Scotland, bottoming, Abrdn, Aquila, Treasuries, CCC
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailInvestors should keep cool as Israel-Hamas conflict unfolds, says JPMorgan's Meera PanditMeera Pandit, JPMorgan Asset Management global market strategist, joins 'Closing Bell' to discuss the impact of the Israel-Hamas conflict on the markets, the direction of interest rates, and more.
Persons: JPMorgan's Meera Pandit Meera Pandit Organizations: JPMorgan Asset Management Locations: Israel
The new war between Israel and Palestinian militant group Hamas has brought more uncertainty to the markets. While stocks shook off the conflict in Monday afternoon trading, financial experts say investors should stay the course amid elevated volatility risks. "Stay calm, think long term and look for some bargains," said David Rea, president of Salem Investment Counselors in Winston-Salem, North Carolina, which is No. If markets do drop, investors focused on retirement and other goals would be wise to hold on, research shows. A $10,000 investment in the S&P 500 would have grown to $64,844 between Jan. 1, 2003, and Dec. 30, 2022 — a 9.8% return, according to research from JPMorgan Asset Management.
Persons: David Rea Organizations: Hamas, Salem Investment, CNBC, Finance, JPMorgan Asset Management, & $ Locations: Israel, Palestinian, Salem, Winston, Salem , North Carolina, Russia, Ukraine
U.S. stock futures were near the flat line on Monday night as Wall Street assessed the impact and risks of a protracted conflict from the Israel-Hamas war. Futures linked to the S&P 500 ticked down 0.01%, while Nasdaq 100 futures added 0.07%. In the wake of the attacks, investors have also raised concerns of how tougher sanctions on Iran could affect global oil supply. Tightened sanctions on Iran and subsequent disruptions to Iran's oil supply "would have more of an impact on oil markets," said BMO Capital Markets chief investment officer Yung-Yu Ma. "I think the oil markets have a little bit of a buffer here.
Persons: Dow, Brent, Meera Pandit, Yung, Yu Ma, Ma Organizations: Dow Jones Industrial, Nasdaq, West, Energy, Israel, West Bank, Asset Management, Capital Markets, Investors Locations: Israel, West Texas, Aqsa, Gaza, Iran
The pandemic pushed financial giants to embrace a more casual dress code that many other corporations had begun to embrace. Diversity in dressFor some women on Wall Street, the shift from business formal to business casual has allowed them to step out of the unofficial uniform of pantsuits and sheath dresses. Lululemon in the boardroomNo Wall Streeters mentioned buying more Ferragamo ties, but many said they were leaning into athleisure. People still come in wearing their suits and ties and their Louboutins, and I'm like, 'what are we doing here?' "For a lot of client interactions, dressing business casual can make it more comfortable and can lead to a better relationship-building experience."
Persons: Luis Arteaga, Shanta Wu, Kristen Powers, Morgan Stanley, She's, Thom Browne, Anne, Victoire Auriault, Goldman Sachs, Jack Dillon, He's, David Trinh, It's, we've, Thoma Bravo, Andrew Almeida, Richard Handler, Jefferies, Katya Brozyna, I'm, Benjamin Kiflom, Neil Kamath, Sarah Sigfusson, Michael Wilkinson, Wells, Patrick McGoldrick, Laiwala, I've, Rachel Hunter, Goldman, Luna McKeon, Ricky Mewani, Dominic Rizzo, Rowe Price Organizations: Barclays, Fidelity, Vista Equity Partners, Bridgewater, Jefferies, Nike Air Force, Goldman Sachs Asset Management, Bank of, Moelis & Company, KKR, Blue Owl, Citadel Locations: Bridgewater, New York, Florida, Miami, San Francisco
But interest rates are unlikely to stay this high for long, according to Fundstrat's Tom Lee. AdvertisementAdvertisementThe Federal Reserve has sowed panic among investors and that's led to the latest bout of dysfunction in the bond market, Wall Street experts say. But according to some market experts, the selloff is largely fueled by feelings of panic in the market rather than fundamentals. "Coming out of the last FOMC meeting two weeks ago, I think that's really when the bond market broke down," Michele added. AdvertisementAdvertisement"This is clearly a panic attack," market veteran Komal Sri-Kumar said to CNBC on the selloff in bonds.
Persons: Treasurys, Tom Lee, , that's, Jerome Powell, It's, Powell, Bob Michele, Michele, Komal, Kumar, it's, there's, Lee Organizations: Service, Wall, Treasury, Asset, CNBC Locations: Silicon, Spain, Germany
"If the unemployment rate ticks up just a couple of tenths it will be recession alert," Gundlach wrote on X. AdvertisementAdvertisementBond-market turmoil could be a sign that a recession is on the way, Jeff Gundlach has warned. "The US Treasury yield curve is de-inverting very rapidly," Gundlach wrote in a post on X. That "should put everyone on recession warning, not just recession watch," he added. That's led to the gap in returns offered by 2- and 10-year Treasurys narrowing to just 33 basis points, for the tightest yield curve since late March.
Persons: Jeff Gundlach, Gundlach, Buckle, , That's, , David Lebovitz Organizations: DoubleLine, Service, Treasury, Federal Reserve, London School of Economics, JPMorgan
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailThe 'disinversion' of the curve makes a hard landing a lot more likely, says JPMorgan's Priya MisraPriya Misra, JPMorgan Asset Management fixed income portfolio manager, and Carol Schleif, BMO Family Office CIO, join 'Squawk Box' to discuss the latest market trends, the Fed's inflation fight, the impact of higher Treasury rates on the equity market, and more.
Persons: JPMorgan's Priya Misra Priya Misra, Carol Schleif Organizations: JPMorgan, Management, BMO Family
There's a worrying signal in the bond market that suggests a recession could soon arrive. Investors have typically pointed to the spread between the two-year and 10-year Treasury yields as an indicator of a coming recession. The two-year yield surpassing that of the 10-year bond has been a signal that's preceded every economic slump since 1955. Meanwhile, 10-year Treasury Inflation-Protected Security yields, which are adjusted for inflation, are currently hovering around 2.5%, Misra said. "The US Treasury yield curve is de-inverting very rapidly," Gundlach said in post on X, formerly known as Twitter, on Tuesday.
Persons: , Priya Misra, That's, Misra, It's, Jeff Gundlach, Gundlach, Buckle Organizations: Service, JPMorgan, Management, CNBC, Treasury Locations: Treasurys
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailEconomic resilience is boosting bond yields, says JPMorgan's David KellyDavid Kelly, JPMorgan Asset Management, joins 'Closing Bell Overtime' to talk the vote to remove Rep. McCarthy as speaker, the state of the bond market, the economy-at-large and more.
Persons: JPMorgan's David Kelly David Kelly, McCarthy Organizations: JPMorgan Asset Management
A financial crisis is brewing as bond yields soar, according to JPMorgan Asset Management's David Lebovitz. "Eventually there's going to be a financial accident… something will break," he said Monday. download the app Email address Sign up By clicking “Sign Up”, you accept our Terms of Service and Privacy Policy . AdvertisementAdvertisementSoaring bond yields risk triggering financial chaos, a JPMorgan strategist has warned. Higher yields tend to be bad news for stocks – because they reduce the relative returns offered by a riskier asset class.
Persons: David Lebovitz, there's, , they've Organizations: Asset, Service, JPMorgan, Federal Reserve, JPMorgan Asset Management, Bloomberg, Wall, Treasury, Silicon Locations: California
Ether futures ETFs hit the market
  + stars: | 2023-10-02 | by ( ) www.cnbc.com   time to read: 1 min
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailEther futures ETFs hit the marketSimeon Hyman, head of investment strategy group at Proshares, and Bryon Lake, global head of ETF solution at JPMorgan Asset Management, join 'Halftime Report' to discuss three new ETFs coming to market today, the investor appetite for crypto ETFs, and the case for buying investment grade bond ETFs.
Persons: Simeon Hyman Organizations: JPMorgan Asset Management
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailThe Fed can hit their 2% objective faster than they think they can, says JPMorgan’s Gabriela SantosGabriela Santos, JPMorgan Asset Management chief market strategist, joins 'Squawk Box' to discuss the latest market trends, recession outlook, the Fed's inflation fight, and more.
Persons: JPMorgan’s Gabriela Santos Gabriela Santos Organizations: JPMorgan Asset Management
Making mistakes doesn't feel great, but they can provide some lessons you might not have learned otherwise. We asked this year's rising stars of Wall Street to open up about the biggest missteps of their careers so far and what they took away from them. Some shared their rookie errors — like slamming their laptop shut after forgetting to save their first big pitch deck or duplicating a trade — while others gave more reflective answers about how early career mistakes impacted their paths. We've got to iterate and change how we do things, and I think that's helped our team's process a lot. So my mistakes also brought me here, and everything that has been a mistake is always a learning experience.
Persons: there's, Luis Arteaga, David Trinh, you'll, Michael Dunn Goekjian, Tori Gilliland, didn't, It's, Andrew Almeida, Thoma Bravo I've, I've, Nadim Laiwala, Rachel Hunter, Goldman, Kristen Powers, Morgan Stanley, Sarah Sigfusson, Shanta Wu, Fred Michel, who's, Morgan, Neil Kamath, Rachel Barry, Chris Dell'Amore, We've, that's, Peter Gylfe, Ricky Mewani, Dominic Rizzo, Rowe Price, Lillian Qian Lin, of, Steve Schwarzman, Peter Peterson, Stephen Schwarzman, Blackstone, Patrick McGoldrick, Katya Brozyna, Michael Wilkinson, Yi Yi, Wells, Luna McKeon, , Anne, Victoire Auriault, Goldman Sachs Organizations: Barclays, Delta, Barclays Bridgewater Associates, Bridgewater Associates, Apollo Management, Thoma Bravo, Moelis, US, Bank of, Fidelity, JPMorgan, BlackRock Blackstone, Citadel, Blackstone, Jefferies, Citadel Securities, Blue Owl, Goldman Locations: Bank, Evercore, Wells, Americas
As interest rates potentially peak, investment advisors say there are now opportunities for hefty gains through certain government bonds. This was during the Covid-19 pandemic when the Bank of England had just cut rates to 0.1%. "You potentially could make a good capital appreciation when interest rates start to fall," Amis added. Amis expects the Bank of England to cut interest rates by 0.25 percentage points in August 2024. Meanwhile, interest rate traders in the U.S. expect the Federal Reserve to implement its first rate cut in July 2024.
Persons: Matthew Amis, Amis, Abrdn, Iain Stealey, Stealey Organizations: Bank of England, U.S, Treasury, Bank of, JPMorgan Asset Management, Federal Reserve Locations: U.K, U.S
In this videoShare Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailThere are a lot of signs an economic slowdown is coming, says JPMorgan's David KellyEric Johnston, Cantor Fitzgerald head of equity derivatives & cross Aasset, and David Kelly, JPMorgan Asset Management chief global strategist, join 'Closing Bell Overtime' to talk the day's market action and upcoming jobs and inflation data.
Persons: JPMorgan's David Kelly Eric Johnston, Cantor Fitzgerald, David Kelly Organizations: JPMorgan Asset Management
Watch CNBC's full interview with Eric Johnston and David Kelly
  + stars: | 2023-09-28 | by ( ) www.cnbc.com   time to read: 1 min
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailWatch CNBC's full interview with Eric Johnston and David KellyEric Johnston, Cantor Fitzgerald head of equity derivatives & cross Aasset, and David Kelly, JPMorgan Asset Management chief global strategist, join 'Closing Bell Overtime' to talk the day's market action and upcoming jobs and inflation data.
Persons: Eric Johnston, David Kelly Eric Johnston, Cantor Fitzgerald, David Kelly Organizations: JPMorgan Asset Management
Insider Today: Finance's next generation
  + stars: | 2023-09-27 | by ( Dan Defrancesco | ) www.businessinsider.com   time to read: +8 min
This post originally appeared in the Insider Today newsletter. Tech: An Amazon exec told employees the tech giant's RTO plans could take up to three years. An Amazon exec told employees the tech giant's RTO plans could take up to three years. Insider is again highlighting some of the brightest young minds in finance with our annual list of Wall Street's rising stars. The Insider Today team: Dan DeFrancesco, senior editor and anchor, in New York City.
Persons: , Harrison, Alyssa Powell, Michelle Abrego, Luna McKeon, Michael Dunn Goekjian, Anne, Victoire Auriault, Goldman Sachs, Jack Dillon didn't, Thom Browne, Dillon, Patrick McGoldrick, Pat, Liu Jie, That'll, Jeffrey Epstein, Jes Staley, Epstein, Bill Tompkins, Donald Trump, it's, Austin Harris, Chris Pizzello, Ron DeSantis, Mike Pence, Vivek Ramaswamy, Mark Zuckerberg, Lil Wayne, Avril Lavigne, Jenna Ortega, Gwyneth Paltrow, Dan DeFrancesco, Naga Siu, Hallam Bullock, Lisa Ryan Organizations: Service, Tech, Amazon, Jack Dillon didn't nab, Vista Equity Partners, New England Patriots, Morgan Asset Management, Getty, Verizon, JPMorgan, US Virgin Islands, SVP, Microsoft, FTC, Federal Trade Commission, AP, Fox Business, Florida Gov, Meta, Publishing Locations: Xinhua, Delta, Northern California, San Francisco, Florida, New York City, San Diego, London, New York
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