Outlook 2025: Gravitational Shifts
Entering 2025, we observe potential shifts in government policy, monetary policy, and markets that will influence results this year. We look back at 2024 and review our outlook for 2025 on policy, the economy, and the markets.
Reflections on Equity Market Volatility
Market Sight|Lines
Investors have been worried about tariffs and trade wars; inflation, Federal Reserve (Fed) policy, and presidential intervention at the Fed; and the increasing risks of recession. However, we maintain our view that things will end up more positive than people think. We review the patterns of equity market volatility, reminding ourselves that this recent weakness may feel painful but is what we should expect from time to time as long-term equity investors.
Unpacking the Market Dynamics of Tariffs, Inflation, and Recession Fears
Market Sight|Lines
Uncertainty has investors on edge, with tariffs creating worries that inflation will accelerate and potentially trigger a recession. Despite rising inflation expectations, rate cuts are still on the table. Markets are down this year, yet rates are up. In this week’s Sight|Lines, we break down how the market has reacted to the current environment and what the data says about what could come next.
