Economy

The Changing Dynamics of Emerging Markets’ Economies

The Changing Dynamics of Emerging Markets’ Economies

The MSCI Emerging Markets Index looks significantly different today than it did at its inception thirty years ago. For one, the market capitalization of emerging markets companies has increased from $52 billion in 1988 to $5.3 trillion as of May 31, 2018. This underscores the ability of emerging markets countries to contribute to the global economy, especially as global markets have expanded.

The Second Longest Ever Period of U.S. Economic Expansion Continues

The Second Longest Ever Period of U.S. Economic Expansion Continues

When the calendar turned from July to August, the United States economy celebrated its 109th consecutive month of expansion. This current period, which began in June 2009 following the Great Recession, is the second longest economic expansion in the history of the United States. While this current economic expansion is one for the record books, it sure hasn’t felt that way for a range of Americans who still don’t feel financially secure. As the chart below shows, annualized real gross domestic product (GDP), which is a measure of economic growth, is the lowest of any economic expansion since 1950.

Inflation Disparity

Inflation Disparity

Talk of inflation has heated up in the last few weeks, with fears that higher than expected inflation could cause the Federal Reserve to raise interest rates at a faster pace. This was one of the contributing factors to the recent volatility in the stock market and has driven U.S. Treasury yields higher.

Municipal Bond Market Outlook

Municipal Bond Market Outlook

Certain aspects of the tax bill signed into law at the end of last year have received significant attention from investors, and rightfully so. The final version of the Tax Cuts and Jobs Act lowered corporate tax rates, realigned personal tax rates, and capped or eliminated certain deductions (i.e. state and local tax deductions).