So far this year, returns for the major asset classes are in sharp contrast to 2021. READ MORE
Long-Term Forecasts – The Good, Bad, and Ugly
The outlook for financial market returns vary widely. As we enter 2022, it may be useful to compare the long-term forecasts of three highly regarded investment firms that publish their forecasts for public viewing. READ MORE
If Not Now, When?
The financial press has been speculating about when the Federal Reserve (Fed) will taper asset purchases. When they say “taper,” they mean reducing the rate of increase of asset purchases as opposed to an actual reduction of assets by the Fed as we saw for a brief period in 2018 – 2019. READ MORE
Congress and the Federal Reserve vs. Rational Investors – 3/5/2021
It has become too easy for Congress to borrow trillions of dollars per year. Why should Congress reduce spending or raise taxes when the Federal Reserve will accommodate a higher level of borrowing? READ MORE
Are We Reaching the Limits of Fed Intervention? 1/2/2020
From January 2018 to September 11, 2018, the Federal Reserve steadily reduced its total assets by $670 billion from $4.44 trillion to $3.77 trillion. On September 11, there was a spike in the repurchase (or repo) rate, a key overnight lending rate. READ MORE