At its last meeting, the FED decided to cut interest rates by 0.50%, in line with market expectations. For the first time since 2005, one of its members, Michelle Bowman, officially expressed her disagreement, preferring a cut of only 0.25%. This cut has generated much debate. With the federal funds rate at 5.25/5.50% and inflation…
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The ECB cuts interest rates by 0.25% On Thursday 12/09, the European Central Bank lowered its official interest rates by 0.25%, lowering the deposit facility rate from 3.75% to 3.50%. The latest data for the eurozone put inflation at 2.2% year-on-year, not far from the European Central Bank’s 2% target. The ECB’s latest projections indicate…
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Stock market falls and volatility increases The first days of August 2024 have left us with a panorama of some uncertainty in the financial markets, marked by significant falls and an increase in volatility: -On August 5, the Japanese stock market suffered an exceptional fall of 12.4%. The fall in the Nikkei 225 (Japanese stock…
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With the stock market, one might ask: Is it a good time to invest in the S&P 500? To find the answer, one must turn to a cartoon that showed what could very well be Superman being interrogated by a man in a tie. —“Oh wow, so you can fly,” the man in the suit…
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The last time we wrote about “The Million Dollar Portfolio” was after the two recent bear markets.
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Everyone, whether related to investment or not, has heard of hedge funds, also known as hedge funds or alternative investment funds. Thus, the story of how George Soros brought down the pound at the beginning of the 90’s, John Paulson’s incredible bet on the collapse of mortgages in the United States or names like Julian…
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The ECB cuts rates by 0.25%. After nine months of holding policy rates steady and as expected, the European Central Bank (ECB) cut rates by 0.25% at its June 6, 2024, meeting. Christine Lagarde had practically committed herself in advance to such a cut.
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Interest rate movements always cause some uncertainty in savers and investors, and the recent 0.25% rate cut by the European Central Bank (ECB) will not be an exception. This change in monetary policy will have different effects on various types of assets. Next, we analyze the theoretical impact of a rate drop on the main…
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Without a doubt, buying treasury bills has become popular in recent months due to the widespread increases in interest rates and, therefore, the returns offered by them. Have you tried buying treasury bills? Or do you prefer to queue in front of the Bank of Spain? Buying bonds directly can be a headache, with complicated…
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At its September 2023 meeting, the European Central Bank (ECB) decided to raise interest rates again by another 0.25%. The official interest rate (deposit facility or interest rate at which banks can make demand deposits with the central bank) was increased to 4%. The increase is due to the fact that although inflation has decreased,…
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