
Rate hikes on the QT. Is this good or bad? Hello, my name is Paul Carroll. I'm the CEO and founder of Efficient Wealth Management, a boutique wealth management firm in South Texas. Fed Chairman Powell announced a quarter percent rate hike yesterday with new band of 2.25 to 2.50%. As a result, domestic and global stock markets tumbled. Was this unavoidable? From a market point of view, valuations over time, are the net present value of future income streams discounted by long term interest rates. You raise interest rates, you see markets tumble. But was this appropriate? Is the market too hot? Only hindsight will tell us and when I say the market, I really mean the economy. The labor market. The labor market is very strong right now. It is slowing down but is it slowing enough? One of the important lessons that has faded into history is...
Read More
Recent Comments