Will History Rhyme? A Fed Pause Has Been Good For Fixed Income
Economists like to remind us there is no such thing as a free lunch. In investment parlance, that just means all investments carry risk—even cash. And the big risk with cash is reinvestment risk. That is, while short-term rates are currently elevated, the risk is these rates won’t last and upon maturity, investors will have […]
Weekly Bottom Line
Financial markets remained eerily positive this week, despite the debt ceiling X-date looming with no bipartisan deal in sight. Retail sales data for April showed the continued resilience of the U.S. consumer, while housing starts are looking to have reached a bottom after having fallen 24% last year. Home sales were lower in April, and […]