Tumbling Markets Imperil Tech, the Dollar, and Private Equity

Text size Japan has had to intervene to support the sliding yen for the first time since 1998, even as it tries to keep its interest rates low. Akio Kon/Bloomberg The world has been hooked on cheap money for years. Now we’re witnessing what withdrawal looks like. Lifting interest rates from nil has produced a … Read more

Inflation Could Be Harder to Tame Than the Fed Anticipates

Text size Another 75-basis-point hike in the federal-funds target is looking very, very likely. Ting Shen/Bloomberg Market participants returned from their summer holidays apparently undaunted by the consistent and persistent message from central bank officials that short-term policy interest rates must be lifted significantly further to bring inflation to heel. U.S. stocks broke their three-week … Read more

Fed Chief Talks Tough on Inflation. There’s More Pain Ahead for the Stock Market.

From left: Fed officials Jerome Powell, Lael Brainard, and John Williams ponder the great outdoors during a break at the economic symposium at Jackson Hole. David Paul Morris/Bloomberg Text size Grand Teton National Park has a stark warning for visitors to the Wyoming mountain oasis. “Bears are active,” it says on its website. “Travel in … Read more

It’s a Good Time to Buy Berkshire Hathaway Stock. Here’s Why.

Text size Berkshire Hathaway CEO Warren Buffett. Johannes Eisele/AFP/Getty Images Berkshire Hathaway has never been in better shape. Its stock looks appealing after pulling back more than 15% from its record high in March. The conglomerate’s operating profits were up 22% in the second quarter, excluding foreign-exchange gains, powered by a 56% gain in investment … Read more

Stocks Could Keep Rising If the Fed Shows Restraint

Text size As the market rebounds, speculative stocks are stirring. For proof, consider Cathie Wood’s ARK Innovation ETF, up about 40% since mid-June. David Swanson/Reuters/Alamy What bear market? Stocks continued their summer rally this past week as better-than-expected inflation results helped lead to a 3.3% gain in the S&P 500 index, its fourth consecutive weekly … Read more

Stocks Break Out. There Are Signs Inflation and Interest Rates May Peak Sooner.

Text size A copper smelter in Jinhua, China. Copper prices, often a signal of where the economy is headed, fell 6% this past week. Top Photo/Sipa USA/Alamy The stock market has predicted nine of the past five recessions, economist Paul Samuelson famously quipped back in the 1960s. A half-century later, is the stock market driving … Read more

Markets Finally Reversed Their Losing Streaks. The Fed Might Avoid Inflicting More Pain, After All.

Text size A ‘help wanted’ sign is displayed in a Manhattan store in New York City. Spencer Platt/Getty Images Nothing lasts forever, not even a stock market decline. But just because a market stops going down doesn’t mean it will continue to rise. This past week, the S&P 500 and Nasdaq Composite broke their skeins … Read more

Municipal Bonds Are Down So Much That They’re Buys Again

Text size Al Drago/Bloomberg A funny thing happened in the past week, as news emerged of inflation hitting a four-decade high. A few strategists started looking a bit more positively on bonds, or at least somewhat less negatively. March consumer prices were 8.5% above their level a year earlier, while producer prices were up 11.2%. … Read more

Stock Market Enters the Worst Part of the Year. What Happens Next.

Text size Texans headed to the polls on March 1 to vote in the state’s first primary of the 2022 midterm election season. Montinique Monroe/Getty Images The summer of the stock market’s discontent might have started early, with a negative first quarter that perhaps anticipated the May-to-November stretch that historically is the worst six-month period … Read more

Oil Prices Are Soaring. It’s Time to Hedge or Sell.

At the top of Americans’ concerns is rising inflation, especially soaring prices for energy, filling their gasoline tanks, or paying their monthly utility bills. And investors and traders have ridden the roller-coaster rise in prices, sending futures and energy-related stocks and exchange-traded funds skyward, especially after Russia’s invasion of Ukraine. That means it’s time to … Read more