How Middle East Conflicts Have Historically Impacted Markets
On the morning of Saturday, October 7, Hamas launched a surprise attack on Israel killing hundreds and plunging the region into further conflict. Israel immediately declared war on Hamas, responded with air strikes, and called up 300,000 army reservists. The U.S. and many U.N. Security Council members have condemned the attacks by Hamas, which is designated a terrorist organization by many major countries, and are providing assistance to Israel including...
5 Insights for Long-Term Investors in Q4 2023
As the final quarter of the year begins, markets are grappling with rising interest rates and economic uncertainty. The S&P 500 declined 3.3% in the third quarter, while the U.S. Aggregate bond index lost 3.2%. Amid negative headlines, how can long-term investors stay positive as they prepare for the final months of the year? One challenge for lifetime investors is the tendency to focus on the negative due to a psychological...
AVIOR INSIGHTS – What the Fed’s Latest Projections Mean for Long-Term Investors
At its September meeting, the Federal Open Markets Committee kept rates unchanged with a target range of 5.25% to 5.50%, in a decision that was widely anticipated by investors. Still, markets responded negatively with bond yields jumping to levels not seen since 2007, the S&P 500 falling a couple percentage points, and tech stocks retreating further from their recent peaks. This reaction may come as no surprise to investors since...
AVIOR INSIGHTS – How Stock Market Sectors Depend on the Business Cycle
For patient investors with time horizons of years and decades, the primary drivers of portfolio returns are not day-to-day market fluctuations but the business cycle and other longer-term trends. One reason that questions around inflation, the Fed, and geopolitics have resulted in market swings is that they shed light on where we might be in the cycle. Additionally, the business cycle impacts not only the broader stock market and interest...