While the Federal Reserve just raised interest rates again as expected, many Fed watchers believe that the central bank will not be as aggressive in raising rates next year as previously anticipated – and could even lower rates if economic growth slows. How could investors go about playing such a change in Fed policy? After a primer on what the Fed does (and doesn’t do) when it comes to stocks, today’s article identifies some strategies. For more, CLICK HERE.
It may defy reason – especially with the Federal Reserve having hiked its benchmark interest rate three times in six months – but bonds continue to do well. In fact, the author of today’s article observes that “fixed-income securities across the board are up this year.” He proceeds to highlight the ten top-performing fixed-income exchange-traded funds so far in 2017 – all of which are up by double-digit percentages. To find out what these ETFs are – as well as for the common thread shared by many of them – CLICK HERE.
The Federal Reserve held off on raising interest rates at its September meeting, but with the odds of a December hike currently being placed at around 6 in 10, investors may want to take note of a list of “7 key risks that investors need to consider in their outlook” – as compiled by David Rosenberg, chief investment strategist at Gluskin Sheff & Associates – where the Federal Reserve’s possible December move ranks as the top risk. To see what the other six key risks to investors identified by Rosenberg are – from the U.S. election to Italy’s constitutional referendum and more – CLICK HERE.
With the Federal Reserve expected to raise interest rates later this year, it might be wise to consider stocks of companies that could benefit from higher interest rates. Today’s article identifies four such companies – “companies whose short-term debt was greater than the amount of their long-term debt. These companies could benefit from refinancing their debt to lock in low rates and might choose to offer long-term bonds when the Fed acts. This action could boost their stock price by eliminating the uncertainty associated with rolling over short-term debt. Management could then focus on operations rather than continuous refinancing.” For an analysis of each of these companies, as well as the author’s recommended action for each, CLICK HERE.