Fed Talk
Fed Talk 05.1.24
Fed Talk
In summary, as the Fed maintains ‘restrictive’ rates for longer, we anticipate continued pressure on interest rate-sensitive sectors of the economy (CRE, housing, credit tightening, etc.), as well as overall growth. The only dovish signal from the Fed today was the announcement to slow QT. Slowing the balance sheet runoff will provide the Fed with additional tools, in the form of a larger balance sheet, to extend the maturity of holdings, thereby exerting downward pressure on longer-term interest rates. This, combined with Powell’s continued references to the likelihood of the next rate move being a cut, reinforces our view that long-term interest rates (excluding any volume premium shocks) are likely to remain below their mid-October 2023 peak.
Fed Talk 12.13.23
Fed Talk
CAPATA Financial’s take on today’s FOMC press conference and announcement: In summary, the SEP’s dovish Dot Plot has reinforced market expectations of looser monetary policy going forward. The market’s reaction, evident in rallying long-term yields and equities, reflects this sentiment. Despite the recent CORE CPI reading of 4.0% and fluctuations in oil prices, there’s a … Read more
Fed Talk 11.01.23
Fed Talk
CAPATA Financial’s take on today’s FOMC press conference and announcement: In summary, we anticipate that if long-term yields, specifically the 10-year note, continue to rise, the committee will maintain the Fed Funds rate at current levels moving forward, and the flattening of the yield curve will increase the probability of a recession. It may seem counterintuitive to hope for an … Read More
MARKET uPDATE
All Muni Bonds Are Not Created Equal
Mikes Corner
The city of Detroit emerged from bankruptcy in 2014. Still, its previous inability to pay investors left some questioning their long-held assumption about the relative safety of municipal bonds. Without question, in the wake of Detroit’s troubles, gaining a better understanding of municipal bonds makes more sense than ever. At their most basic level, there … Read more
Retirement / Planning
Exploring retirement options
Retirement/Planning
Selecting a retirement account for your small business is a key decision that impacts both you and your employees. With various choices available, it’s important to consider factors such as expenses, employee turnover, and contributions. This brief guide is designed to help you navigate different considerations when choosing a retirement plan that aligns with your … Read more