Dow Jones Index Volatility – Week of June 8 – 12, 2020

By Kuldip K. Ambastha The Dow Jones Industrial Average (DJIA) had a volatile ride this past week, due to several factors. Comments from Jerome Powell (the Chair of the U.S. Federal Reserve), GDP forecasting, unemployment rate (and jobless claims) data, and coronavirus pandemic data all played their own significant parts in the DJIA activity. The …

Negative Interest Rates in the USA are Unlikely – Week of May 11 – 15, 2020

By Kuldip K. Ambastha Jerome Powell, the Chair of the U.S. Federal Reserve, issued detailed comments this week. The American economy continues to be ravaged by the coronavirus pandemic. Additional fiscal support aid (e.g. another round of stimulus payments to Americans) will likely be needed for the American economy to recover. However, the Fed is …

GDP Contraction, the Fed, and the Dow Jones – Week of April 27 – May 1, 2020

By Kuldip K. Ambastha The Dow Jones had three down and two up days this week. The coronavirus pandemic has continued to wreak havoc all around the world, and the American capital markets were affected. During 1Q2020, the USA’s GDP (gross domestic product) annualized contraction rate was 4.8%. This figure was announced on Wednesday, April …

What Caught Our Attention in the Investment World? – Week of July 8-12, 2019

By Anil K. Ambastha and Kuldip K. Ambastha After testimony of the U.S. Federal Reserve Chairman Jerome Powell to the U.S. Congress where he indicated the possibility that the central bank may cut interest rates during its meeting later this month, some of the major stock market indices reached their all-time highs. The S&P 500, …