It will be another week of watching interest rates and possibly participating in one of the many betting pools regarding exactly when in 2024 the Federal Reserve will actually cut rates (my advice: save your money). Chairman Powell’s Jackson Hole speech on Friday contained something for everyone, allowing both interest rate hawks and doves to justify their respective views that 1) interest rates will rise further as economic growth continues apace and the American consumer seems worried about absolutely nothing and 2) the Fed is done raising interest rates as inflation settles into the 3% range which should be more comfortable for the Fed than they are willing to admit. The bond market listened to Powell and is now pricing in the first rate cut in June of 2024. We continue to see high quality income opportunities as attractively valued here, with the U.S. Aggregate Bond yield back over 5% and investment grade corporate bonds trading around 5.77%. On the wealth planning front, we discuss tax issues that famous performers like Taylor Swift face and how important have a good accountant is.
Click Here to Read the August 28, 2023, Economic Commentary
Click Here to Read the August 28, 2023, Investment Commentary
Click Here to Read the August 28, 2023, Wealth Planning Commentary
