Wealth Management Blog | WrapManager | market perspective (4)

JP Morgan Trade Policy Chess

Posted by WrapManager's Investment Policy Committee

February 13, 2017

President Trump’s first few weeks in office have been busy on many fronts. However, for investors, his statements on trade policy maybe the most consequential.

JP Morgan's Chief Global Strategist Dr. David Kelly, CFA, explains the differences and similarities among a tariff, a value-added tax (VAT) and a cash-flow tax with border adjustments (BAT) and how they might apply to Mexico. He then examines the effects of each for the U.S. economy, consumers and investors.

Read the entire market commentary here.

JP Morgan Investment Outlook 2017

December 12, 2016

Economic warming and political warnings... Short-term interest rates remain extremely low given the relative health of both the U.S. and global economies. 2017 should be a year of global economic warming but also one of growing risks. However, with cash paying less than nothing in real terms in most of the world, investors should still be overweight long-term assets, with a tilt toward those that should do best in a world with somewhat stronger growth, higher inflation and higher interest rates. [+] Read More

JP Morgan Guide to the Markets 4Q 2016

October 24, 2016

JP Morgan Quarterly Guide to the Markets JP Morgan’s Guide to the Markets for the fourth quarter of 2016 is now available. This comprehensive guide includes pages of charts to illustrate the latest information about equities, investing opportunities, fixed income yields and returns, international markets and historical asset class performance. [+] Read More

JP Morgan Market Insights 2016: An Election of Extremes

October 17, 2016

JP Morgan Assets analyzes: Why economic angst has contributed to a frustrated electorate Why our base case of de facto divided government is what ultimately matters most for markets What history tells us about market behavior before, during and after presidential elections Why either a President Trump or Clinton will likely face a recession in his/her first term, and how investors should think about their portfolios given where we are in the economic cycle Read the entire market commentary here. [+] Read More

JP Morgan Market Bulletin: Brexit - a Shock for Markets, or a Crisis?

June 28, 2016

Excerpt from the June 24, 2016 JP Morgan Market Bulletin. Click here to read the entire bulletin. [+] Read More

Eagle Asset Management Market Perspective - Patience

December 15, 2015

Eagle Asset Management's Richard Skeppstrom urges patience in this month's Market Perspective. "When things don’t seem normal, we’re prone to action. Yes, we’ll wait around a bit expecting the familiar to return but we aren’t a patient species: somewhere between dogs and finches. The urge to do something overwhelms caution at some point. I believe we (the markets) are there. We’ve given up on the return of familiar. The genetic playbook is calling for action. Morgan Stanley is feeling it: The company just fired 25 percent of its fixed-income folks. Conclusion: Fixed income is crippled forever or Christmas is the best season for job searches? The epic merger boom: Zero organic growth is bad for my CEO pay or Goldman Sachs deserves more deal fees The U.S. Federal Reserve’s profound dithering over 25 basis points: Evidence of a desire to do something or a Fed out of options? [+] Read More

Eagle Asset Management - Interest Rates and Equity Markets

October 27, 2015

Eagle Asset Management's Richard Skeppstrom reviews the Fed's interest rate decision and discusses current equity markets in this month's market perspective. "Interest-rate constipation U.S. economic growth was nearly 4 percent in the second quarter and the U.S. Federal Reserve decided to leave rates at 0. It was rumored to be a close call but labor conditions aren’t perfect: too many aren’t looking for work, international markets are unsettled and infl ation remains just below target. I didn’t believe 0.25 percent made any difference anyway but equities weren’t thrilled. You might think that after watching these things for 20-some years, I’d know if the news were good or bad; however, I’m not even sure what the news was in this case. Some countries aren’t well-run? Some people would rather not work? In any case, the Fed still believes it imprudent to pay interest on savings. Congrats to the borrowers. [+] Read More

Managing Market Risk with Long-Term Investing

September 23, 2015

After recent financial ups and downs, managing market risk is on investors’ minds. Volatility in the markets can make people nervous, but it’s important to remember that risk is always present when it comes to investing. Even conservative investments like certificates of deposit (CDs) carry the risk of inflation. And yet, investing is a very important component for growing your wealth over time. How much should you worry about managing market risk? What can you do when the market becomes exceptionally volatile? [+] Read More

ClearBridge Investments Commentary - Large Cap Growth Portfolios

September 2, 2015

ClearBridge Investment's Peter Bourbeau and Margaret Vitrano provide their perspective on the second quarter discussing their large cap growth portfolios. "As with stocks, the U.S. economy continued its slow march forward through the second quarter. Employment continued to lead the way, with payrolls increasing by an average of 221,000 per month, and the unemployment rate declining to 5.3%, its lowest level since April 2008. Consumer spending and new and existing home sales showed healthy improvement in May, while consumer confidence bounced back late in the quarter. The CEO of a major retailer we spoke with during the quarter indicated that consumers are now feeling good enough about their finances to expand purchases from basic staples to higher-priced apparel and home furnishings. Offsetting those gains were disappointing reports on GDP growth, with the final revision to first-quarter data showing that the economy contracted by 0.2% in the three months of the year, as well as industrial production. [+] Read More

Geneva Advisors - Market Volatility

July 23, 2015

Geneva provides its second quarter market overview for 2015. They discuss geopolitical risks effect on volatility, global economic positioning and their optimism for the future. “Market Overview U.S. equities generated modest gains in the second quarter. Improving economic data, continued easy global monetary policy and increased merger and acquisition activity combined to help sustain higher equity prices.Geopolitical risks, however, now including those in Greece and China, caused increased market volatility. [+] Read More