Following last week’s announcement of a temporary pause in raising the Fed Funds rate, Federal Reserve Chairman Powell will be under pressure this week to explain to Congress — and financial markets— what exactly this temporary pause means. Although “headline” inflation has come down significantly, falling to a scant 0.1% month-over-month in May (a 2.2% annualized 3-month rate), core inflation remains elevated at 5.0% annualized for that same 3-month period (March, April, May). There is an expectation the US is coming close to the end of its tightening cycle. US high yield credit spreads have narrowed in recent months, suggesting a greater likelihood of a softer landing for the US economy, which would be positive for the global economy. As a result, there is an increasing FOMO (fear of missing out) dynamic. On the wealth planning front, we discuss why legal documents are so hard to understand.
Click Here to Read the June 20, 2023, Economic Commentary
Click Here to Read the June 20, 2023, Investment Commentary
Click Here to Read the June 20, 2023, Wealth Planning Commentary
