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Market Says US FED Is Done Hiking Rates

 








Market says US FED is done hiking rates

The stock market is signalling that the US Federal Reserve is finished raising interest rates. This has led to a rally in growth stocks, which are particularly sensitive to interest rates. We are optimistic about the short-term outlook for the S&P 500, but cautious about the long-term outlook for equities.

 

We believe that there are trading opportunities in the growth sector in the coming week, but investors should be aware of the high volatility of growth stocks.

 

The bond market, especially longer-term bonds, also rallied this week on the Fed's perceived message that it is halting rate hikes. Fixed income investors may want to consider averaging in at current levels.

 

In the week ahead, we will be looking for stocks to pull back before going long. We will also be looking at interest rate-sensitive stocks in the Hong Kong market.


Summary:

- The Fed is likely done hiking rates.

- Growth stocks are leading the rally.

- Cautious on long-term equities outlook.

- Watch for trading opportunities in growth and interest rate-sensitive stocks.

Headlines for Week Ahead:
Corp Earnings (BRK.B, HD, DBS, SIA, Capland Invest, OCBC)
US Daylight savings ends on 5 Nov
US US FED Chairman speaks
China Oct CPI


Disclaimers apply

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