Navigating the financial landscape: a deep dive into market
trends and S&P 500 valuation in 2024
As we step into the fortunate year of #2024, the financial
landscape is adorned with a mix of triumphs and challenges.
A glance at the market updates for the end of 2023 reveals a
robust performance. However, a closer examination prompts
questions about the #sustainability of this momentum and
raises concerns about the accuracy of optimistic projections
Why have gold prices gone up by 10 percent in just 17 days?
Gold is the most precious metal making it a valuable asset.
During times of economic instability, gold is considered as
a safe haven for investors. A low-risk asset, investing in
gold seems to be a viable decision in times of market
volatility.
The FED should not ignore rising unemployment numbers. The
FED’s efforts of taming inflation close to the 2% target
have proven successful. With numerous #interest rate hikes,
the fear of #inflation has subsided, yet the rising
unemployment numbers are still a cause of concern for the
#FED. To prevent the possibility of an economic downturn,
the FED needs to focus on #unemployment numbers.
Has the market corrected sufficiently and are we
successfully steering clear from a looming #recession?
The S&P500 has experienced the quickest recovery ever in
2023 after a correction, climbing around 9.5% in the weeks
since, right from the support level I, mentioned in my
previous post. This movement has created a stir in the
market and has everyone wondering.
With the current #labourmarket data, what will be #fed's
next step?
While the Federal Reserve has managed to bring down
inflation to 3.7% with its series of interest rate hikes, at
present, the FED is facing challenging times as they are
trying to determine if, the tight financial conditions are
sufficient enough to manage #inflation. The #labour market
data plays an important role in determining if the economy
is beginning to slowdown. Let's look at the #LabourMarket
Data:
Corporate #america is witnessing a new #crisis: a wave of
#bankruptcies.
As per new data, it’s possible that 2023 could become the
worst year for corporate bankruptcies in over ten years. A
notable rise of 68% in U.S Chapter 11 bankruptcy filings was
observed in the first half of the year as compared to last
year.
Crude oil prices have already surged. Now, is the time to
accumulate before it climbs even higher. Monday morning has
already witnessed a surge of 5% in crude oil as compared to
the previous day
The fed keeps interest rates unchanged at the september
meeting.
At the highly anticipated event closely watched by financial
markets, investors and economists around the world, the
Federal Reserve announced its decision of keeping the
interest rates unchanged at 5.5% but has indicated a
potential raise in rates once more later this year.
The much-anticipated august consumer price index cpi report
released on wednesday has heightened concerns about rising
inflation.
Consumer prices rose by 0.6% MoM (Month on Month) and 3.7%
YoY (Year on Year) indicating signs of rising inflation due
to an increase in #oil prices, the U.S. Department of Labour
reported. However, despite an increase of 0.3%, the core CPI
dropped to 4.3% from 4.7% in July. The Core CPI measure
excludes prices of energy and food. The Federal Reserve
closely analyses the Core Inflation data to understand the
patterns of Inflation in the long term.
August job report: anticipating fed’s reaction, is there a
possible hike on the horizon?
With the Federal Reserve facing challenges to manage
inflation and create a favourable environment for business
and economic growth in the US economy, the August Job Report
published by the U.S Bureau of Labour Statistics provides
good insights.
3 simple ways to select the right #stocks with healthy
returns.
When it comes to selecting stocks for promising returns,
every analyst and investor has their own unique approach. My
strategy involves meticulous analysis that not only ensures
returns but, healthy ones.
5 ways meditation transformed my #trading journey in 15
days.
Vishen Lakhiani's book, "The Code of an Extraordinary Mind,"
introduced me to a world I thought was boring and difficult:
Meditation. It sounded challenging at first, attempting to
control my thoughts and focus on my inner energy. But after
practicing, I found it easy to control and grow my mind.
In the world of finance and economics, yield curves play an
important role in determining the health of the economy. It
is a graphical representation of the interest rates on bonds
for a range of maturities.
How lack of patience cost my client the opportunity to
multiply his wealth by six times.
For an investor, being patient is not easy. A challenging
task, the #investor must master the art of managing his
emotions well to make the right decisions especially, when
money is at stake.
How should I diversify my portfolio to adjust my financial
goals and manage risks effectively?
I suggest you diversify your portfolio with stocks, bonds,
and commodities and, diversify geographically. Currently,
the Indian equity market looks promising for long-term
investments, but not immediately, as it has risen
significantly in the last six months.
The us market is facing volatility currently, and I saw a
drop in my portfolio, what should I do about my investment?
If, you plan to hold for more than 10 years and your
portfolio includes financially flourishing companies with
zero debt, consistent revenue growth, strong profit margins
which can sustain difficult times like recession, then yes,
you can stay invested.
Why buying a home in the us has become so difficult and
expensive?
The Mortgage rates climbed to 7.25%, the highest in two
decades, last week. Owning a house in America is a dream. A
symbol of financial success and independence, homeownership
is considered a huge achievement. Driven by supply and
demand, the housing market in the United States of America
is currently facing uncertainty with a rise in home prices.
How the israel-hamas war will affect the world economy?
The Israel-Hamas war has led to a growing humanitarian
crisis grappling the world with unprecedented challenges and
complex situations. This will have a profound impact on the
world economy.
Could china’s increasing #gold purchases lead to a
significant rise in gold prices?
China’s Gold Reserve added another 29 tonnes of physical
gold in August 2023, increasing its year-to-date purchases
of 155 tonnes in 2023. Its highest monthly total of the
year.
The latest news of extending voluntary oil supply cuts by
saudi arabia and russia have left investors in a state of
worry.
On Tuesday Saudi Arabia extended its voluntary crude oil
supply cut to 1 million barrels per day and Russia reduced
its oil exports by 300,000 barrels per day until December.
