Episode Details

The Fed Holds Firm. Can Markets Keep Climbing?

Episode 233 Published 15 hours ago

Description

Resilient economic growth, persistent PCE inflation and the Federal Reserve’s decision to hold interest rates steady remain central for investors. Reduced forward guidance could increase market volatility, while elevated AI capital spending and a defensive rotation are affecting earnings expectations and market breadth. Historical midterm election trends support a cautiously positive market outlook for 2027, though investors should remain disciplined and attentive to inflation, policy and earnings risks.

Speakers:

Brian Pietrangelo, Managing Director of Investment Strategy

Stephen Hoedt, Head of Equities

Cynthia Honcharenko, Director, Fixed Income Portfolio Management

Time

01:31 — Housing activity, mortgage rates, and stable unemployment claims

03:18 — AI financing pressures re-shape technology and equity markets

06:46 — Earnings breadth and valuation challenges for the S&P 500

09:01 — Oil supply, strategic reserves, and geopolitical risk premiums

15:28 — FOMC expectations, credit quality, and the flight to safety

Additional Resources

Watch Now: Year-End Planning — Actions to Consider Before 2027