Gold prices surged to test the $2,000/oz level early this week before retreating ahead of the Federal Reserve's interest rate decision.
Yesterday, the Fed completed its regular meeting and announced that it would increase interest rates by 25 bps, or a quarter percentage point.
Yields on 10-Year Japanese Government Bonds have fallen by about a third over the past two weeks, as shown in the chart below.
Financial markets seem to have returned to trying to time a dovish Federal Reserve turn, but Franklin Templeton Fixed Income CIO Sonal Desai says with a tight labor market and inflation running at 5%-6%—don’t bank on it.
In a closely watched decision, the Fed lifted its benchmark lending rate by 25 basis points to a range of 4.75% to 5% at the conclusion of its March policy meeting.
Read our latest insight where Dan Suzuki explains what investors need to know about the Silicon Valley Bank collapse.
The Fed raised short-term rates by another 25 basis points (bp) today and made no changes to the expected peak for short-term rates later this year.
Income-seeking investors are accustomed to casting wide nets after years of low yields.
Silicon Valley Bank was a “vital cog” in the private market ecosystem, which leads to many questions—and opportunities—across the alternative investments landscape.
Both the leading indicators of growth and liquidity continue to suggest growth will slow as 2023 progresses.
To shore up Silicon Valley Bank and the other failed banks, the Federal Reserve extended an open-ended line of credit via its Bank Term Funding Program (BTFP) and discount window borrowings.
U.S. stocks climbed for a second straight day Tuesday, with the tech-focused Nasdaq Composite ending near a five-week high, as jitters over bank instability eased.
We have been reminding everyone that we believe we are unwinding a financial euphoria episode that Charlie Munger called the biggest of his career, “because of the totality of it.”
Banking turmoil continues to rattle the global markets and investor confidence.
CIO Larry Adam outlines the positive events that are outweighing negative developments and looks at dynamics to focus on in the week ahead.
The simplest thing that can be said about current financial market and banking conditions is this: the unwinding of this Fed-induced, yield-seeking speculative bubble is proceeding as one would expect, and it’s not over by a longshot.
The national news cycle has careened from one extraordinary and alarming story to the next.
Chief Economist Eugenio J. Alemán discusses current economic conditions.
Portfolio Manager Andy Acker explains why the healthcare sector could offer an attractive combination of defense and growth in today’s market.
The late great Supreme Court Justice Antonin Scalia was often in dissent in key legal cases during his long career.
Robust risk management is essential for fixed income investors. In his latest commentary, Marcus Moore explains why our sustainable investing team considers ESG factors as material business risks, similar to the traditional risks they also analyze.
Franklin Templeton Investment Solutions explores the shared macro concerns that set the stage for the recent banking crisis, its ripple effects on the broader economy and implications for multi-asset investing.
With the collapse of Silicon Valley Bank, questions of potential “bank runs” spread among regional banks.
Could the consensus view of a “no recession” scenario be wrong? As portfolio managers, this is the question we ask ourselves daily.
For years I’ve used a sandpile metaphor to describe complex systems like banking. Keep dropping grains of sand long enough and you will eventually trigger an avalanche.
Sixty-six million Americans currently receive monthly benefits from Social Security, which, if nothing changes, is expected to be insolvent by 2035 at the latest. It’s time for Americans to take a greater role in their own retirement planning.
Fears of bank runs precipitating a broader financial crisis helped spark a surge in bullion buying this week.
The full story of SVB is still unfolding, but we offer some initial reactions.
GMO 7-year Asset Class Forecast: February 2023
U.S. equities are lower as pressure has returned to the banking sector, which remains top of mind.
Following this week’s banking crisis and the return of government bailouts, investors and traders alike are once again calling for a Fed pivot.
The market gyrations are not rooted in a banking crisis, but in financial cracks from rapid rate hikes.
Portfolio manager Peeyush Mittal and research analyst Swagato Ghosh say India has a fiscal playbook to chart a path of stability and growth.
In a dovish move, the central bank raises rates by half a point.
Implications of SVB and Credit Suisse on the European banking sector—check out highlights from our recent panel discussion with Kim Catechis, Investment Strategist with the Franklin Templeton Institute.
When markets react, consider a broader historical perspective before changing your financial course.
Although the dust has not yet settled, we think it’s a good time to pause and consider the implications of the recent Silicon Valley Bank (SVB) collapse.
Financial market volatility has followed the collapse of Silicon Valley Bank. Stephen Dover, Head of Franklin Templeton Institute, shares his thoughts on possible implications outside the United States.
What our experts think about today's market action.
Elevated job openings may not give an accurate view of labor market conditions.
Credit Suisse’s problems revealed today stem from issues the company discussed last June in a profit warning.
U.S. stocks are falling in pre-market trading as recent banking turmoil on this side of the pond made its way to Europe.
If marked to market, assets purchased during quantitative easing are in the red.
The failure of Silicon Valley Bank raises questions for Fed policy and economic growth.
101 Lesson of Structural growth versus recovery growth investing.
Headline CPI came in today as expected at 0.4%, however core inflation (ex food and energy) came in slightly higher at 0.5% versus the estimated 0.4% increase.
The extreme “tail” risk ahead may be disorienting.
The new SECURE Act 2.0 (Setting Every Community Up for Retirement Enhancement Act) seeks to make it easier for U.S. taxpayers to save for retirement and expands access to retirement plans.
The events that began with Thursday’s tumult in financial stocks and precipitated the FDIC takeover of Silicon Valley Bank and Signature Bank were swift.
We just experienced the fastest bank run in history with the closure of Silicon Valley Bank.
