Archive: Economic and Financial Digest

December 11, 2019 | Economic and Financial Digest

The Good Place is on Shaky Ground

Federal Reserve chair Jay Powell continues to insist that the economy is in a “good place”, which, like the Goldilocks scenario, is neither too hot nor too cold – but just right. At least just right enough to keep the policy levers where they are for a while. After cutting interest rates for the third […]

November 13, 2019 | Economic and Financial Digest

Will Factory Slump Kill The Expansion

Throughout most of the year the U.S. economy has withstood a torrent of headwinds, including escalating trade tensions with China, a severe global slowdown, geopolitical turmoil and headline-grabbing political controversy that continues to bedevil the administration. These adverse developments have taken a toll on business confidence and delivered a blow to exports and manufacturing activity, […]

October 31, 2019 | Economic and Financial Digest

Will Trade Wars Topple the Economy?

With the same certainty of death and taxes, the financial markets are perpetually challenged by a wall of worry. More often than not, the challenge is overcome when worries create opportunities that beget rich rewards for risk-takers. By all accounts, that premise has been on full display since the end of the Great Recession. The […]

August 27, 2019 | Economic and Financial Digest

Recession Watch

Is the longest expansion in American history about to expire? A time-honored financial indicator recently sparked more interest in that question, but concerns over the economy’s direction had been growing for several months. True, the headline data suggest there is little to worry about. After staging a deceptively strong 3.1 percent growth rate in the […]

August 19, 2019 | Economic and Financial Digest

Buying Insurance

At their open market committee meeting on July 30-31, the Federal Reserve cut short-term interest rates by 0.25%. Although the markets anticipated the move long before the Fed made their official announcement, the cut represents an important change in position from the hawkish stance seen as recently as December of last year. At the press […]