Key Wealth Matters Key Wealth Institute

In this week's Market Minutes recap, hear from our team of investment experts as they share their perspectives on the latest market and economic activity. Our panel shares detailed insights into retail sales, industrial production, consumer spending, the Fed, and the equities market.
Speakers: Brian Pietrangelo, Managing Director of Investment StrategyGeorge Mateyo, Chief Investment OfficerRajeev Sharma, Head of Fixed IncomeStephen Hoedt, Head of Equities
 
01:38 – The overall Advance Retail Sales report showed a slight increase of 0.1% for the month of May 
02:19 – After flat/negative reports for industrial production in March and April, this week’s report showed industrial production increased to 0.9% for the month of May 
03:17 – Comments on areas of the economy – such as real estate, retail sales, and overall consumer spending – that have a dependent relationship to interest rates, are seeing a slowdown
06:06 – While the market is actively reviewing data to support anticipated rate cuts starting in September, the Fed is trying to reel in market expectations as they are still trying to reach the 2% inflation target
11:59 – We have seen continued growth within the U.S. stock market as the S&P 500 is up 15% year-to-date and is showing a Sharpe ratio of near 2.0. Along with this, tech companies – like NVIDIA, Apple, etc. – are driving stocks to all-time-highs

Additional Resources
Key Questions: Key Questions: What Makes a Good Investment Fund Manager | Key Private Bank
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Economic & Market ResearchWeekly Investment BriefFollow us on LinkedIn

In this week's Market Minutes recap, hear from our team of investment experts as they share their perspectives on the latest market and economic activity. Our panel shares detailed insights into unemployment claims, CPI inflation, the FOMC meeting, and the equities market.
Speakers: Brian Pietrangelo, Managing Director of Investment StrategyCynthia Honcharenko, Director of Fixed Income Portfolio ManagementGeorge Mateyo, Chief Investment OfficerStephen Hoedt, Head of Equities
 
01:27 – June initial unemployment claims came in at 242,000. This was an increase of about 13,000 from the week prior
04:01 – A recap of this week’s FOMC meeting discussing:
What the Fed saidWhat are the Fed’s projectionsWhat does it mean for future rate cuts07:46 – Based on the FOMC meeting, though inflation seems to be decreasing the Fed did not appear confident in the data to adjusting their initial projections
11:27 – Since NVIDIA’s earning report release, many of the Magnificent Seven are continuing to dominate the market week after week
14:06 – Recognizing the importance of staying diversified

Additional Resources
Key Questions: What Happens If the Fed Doesn’t Cut Rates This Year? | Key Private Bank
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Economic & Market ResearchWeekly Investment BriefFollow us on LinkedIn

In this week's Market Minutes recap, hear from our team of investment experts as they share their perspectives on the latest market and economic activity. Our panel shares detailed insights into PMI data, employment data, Fed rate cuts, and the stock and bond markets.
Speakers:
Brian Pietrangelo, Managing Director of Investment Strategy
George Mateyo, Chief Investment OfficerRajeev Sharma, Head of Fixed IncomeStephen Hoedt, Head of Equities
01:37 – The Manufacturing Purchasing Manager’s Index (PMI) was reported at a lower figure for the month of May, which is also down from the month of April, revealing a slowdown in the economy
02:48 – Comments on the recent employment data released this week, and how it may contribute to the Fed postponing a rate cut in July 
05:07 – As economic data was released this week, yields were affected causing a spike in the 2 Year Treasury yield and an 8-point basis jump, essentially confirming there will be no rate cut in July
09:02 – While the U.S. plans to stay higher for longer, international markets like the European Central Bank (ECB) implemented a rate cut this past week as they’re willing to cut first and await the outcome
10:22 – While the U.S. economy seems to be diversified, the stock market is not, as the spotlight appears to be on tech companies, such as NVIDIA, since they have been contributing to an increase in gains with the S&P 500 and an increase in earnings
15:46 - 17:34 – Final remarks about continuing to stay focused on quality portfolios and staying diversified

Additional Resources
Key Questions: How Much Longer Can the US Consumer Carry the Economy? | Key Private Bank
Key Questions | Key Private BankSubscribe to our Key Wealth Insights newsletter
Economic & Market ResearchWeekly Investment BriefFollow us on LinkedIn

In this week's Market Minutes recap, hear from our team of investment experts as they share their perspectives on the latest market and economic activity. Our panel shares detailed insights into the Beige Book report, PCE inflation, the ECB, the equities market, our perspective on international markets, and Key Wealth’s upcoming National Call.
Speakers:
Brian Pietrangelo, Managing Director of Investment Strategy
Donald Saverno, Director of Multi-Strategy Research Rajeev Sharma, Head of Fixed IncomeStephen Hoedt, Head of Equities
01:38 – The Fed’s Beige Book report was released highlighting economic activity, retail spending, credit standards, and employment
03:33 – The overall Personal Consumption Expenditures (PCE) inflation index for April came in at 2.7% year-over-year, and the Core PCE inflation index reported 2.8% year-over-year. Both data points remained the same from March
04:42 – Following the release of the PCE inflation index, we hear comments on what we can expect regarding anticipated rate cuts from the Fed for the remainder of the year
08:25 – Remarks on the European Central Bank (ECB) potentially administering a rate cut before the U.S. Federal Reserve
09:24 – Since NVIDIA has reported their earnings in the week prior, the equities market has increased trading efforts and looks to be experiencing a small pause 
13:06 – Comments on the qualitative and quantitative data that shows the outperformance of U.S. markets vs. international markets and why remaining diversified in non-US equities can be valuable over the long-term
17:34 - Final remarks about continuing to stay focused on quality portfolios and staying diversified, along with Key Wealth’s upcoming National Call on Wednesday, June 5th

Additional Resources
Key Questions: How Much Longer Can the US Consumer Carry the Economy? | Key Private Bank
Key Questions | Key Private BankSubscribe to our Key Wealth Insights newsletter
Economic & Market ResearchWeekly Investment BriefFollow us on LinkedIn

In this week's Market Minutes recap, hear from our team of investment experts as they share their perspectives on the latest market and economic activity. Our panel shares detailed insights into this week’s important inflation releases, “two-armed economist” theory, the equity and bond markets, and the upcoming Key Wealth National Call.
Speakers:
Brian Pietrangelo, Managing Director of Investment Strategy
George Mateyo, Chief Investment Officer Paul Toft, Senior Fixed Income Portfolio ManagerStephen Hoedt, Head of Equities 
01:22 – The Producer Price Index was released reporting at 0.5% month-over-month for April, which is above the expected figure of 0.3%
04:00 – Remarks regarding the ‘two-armed economist’ theory, as the economy seems to be in a toss-up with the back-and-forth of inflation and rate cut discussions 
07:25 – Comments on equities market as it continues to hit peak levels this week 
11:43 – As municipal bonds appear to be having a better month than in April, we hear comments explaining why
14:34 – final comments highlighting the upcoming Key Wealth National Call on June 5th at 1:00pm EST
Additional Resources
Key Questions: I Have a College Graduate Now, What Can I Do With My Excess 529 Account Funds? | Key Private Bank 
Key Questions | Key Private BankSubscribe to our Key Wealth Insights newsletter
Economic & Market ResearchWeekly Investment BriefFollow us on LinkedIn

In this week's Market Minutes recap, hear from our team of investment experts as they share their perspectives on the latest market and economic activity. Our panel shares detailed insights into the equities market, corporate earnings, and the upcoming CPI report.
Speakers:
Brian Pietrangelo, Managing Director of Investment Strategy
George Mateyo, Chief Investment Officer Rajeev Sharma, Head of Fixed IncomeStephen Hoedt, Head of Equities 
01:53 – Updates on earnings and what is being reported from the stock market 
09:16 – Comments on rate cut discussions by the Fed, in recent weeks, and how it’s affecting the yield curve
13:44 – Predictions on the Fed, and Fed Chair Powell’s potential reactions to next week’s Consumer Price Index release
15:26 - Final comments about continuing to stay focused on quality portfolios and staying diversified.
Additional Resources
Key Questions: How Do Recent Changes to the FDIC Insurance Coverage Limits Affect My Deposits? | Key Private BankWhite paper: An Introduction to Investing in Private Credit | Key Private Bank
Key Questions | Key Private BankSubscribe to our Key Wealth Insights newsletter
Economic & Market ResearchWeekly Investment BriefFollow us on LinkedIn