Many investors are concerned about the situation with the markets, the economy, and their implications in our daily lives. In 2020, the federal funds rate was cut drastically to nearly 0.05% in an effort to curb the panic of the COVID-19 pandemic. Fear ran rampant. The reserve ratio for banks was cut, which increased the…
As we look around at the current state of affairs, it’s easy to get discouraged. There’s a war raging in Ukraine, a COVID-19 virus that continues to spread, inflation is rampant, and many financial analysts predict a recession within the next couple of years.1 And although no one can say for sure where markets are…
At the time of writing, the US stock market is on track to experience the worst first 100 trading days since 1970. The Nasdaq is down 28% this year, the S&P is down 17.3%, and the Dow Jones is down 12.1%. It’s red as far as the eye can see. This has made many investors…
What causes them, and how could they affect my portfolio? The nation is currently grappling with record-breaking inflation. In 2021, inflation was about 7%—the highest it’s been since 1982. From gas prices, to airline tickets, to our utility bills, we have seen price increases across the board. Prices for meat products and eggs rose around…
To fully understand how your financial portfolio and financial goals are tied to a successful economy, it’s important to understand how interest rates work. Today’s post looks at how interest rates operate and how specifically those interest rates affect the investment in bonds.