Next time you hear someone say the Fed won’t raise rates this year since it is an election year, raise your hand and distribute some facts. Of the 60 rate hikes that have happened since 1980, 32% have occurred in election years, according to Wells Fargo research. The Fed has three more meetings in 2016:
Yes I know the above math does not make any sense, yet I wanted to highlight some article on the fragile state of the economy and the potential for a 10% correction. Three Danger Signs Of A Looming Recession | Mauldin Economics Business Bankruptcies Are Accelerating Tax Collections Are Shrinking Rapidly Evaporating Corporate Profits Four
Dividends have been a hot topic lately thanks to the central banks pushing short-term interest rates to zero after the Global Financial Crisis of 2008. This has forced investors in need of income to look at areas outside of traditional bonds and other income producing ideas. One area in particular that often flies under the
From Bill Gross: “With yields at near zero (globally) and negative on $14 trillion of global government credit, the contribution of velocity to GDP growth is coming to an end and may even be creating negative (global) growth as I’ve argued for the last several years. Our credit-based financial system is sputtering, and risk assets
When trying decipher stock market returns and the Presidential cycle some interesting trends emerge: In the past 22 election years, there have been only four occurrences when large cap stocks ended the year in negative territory. Interestingly, three of these negative years happened during election years leading up to a Democrat being elected President. On