By a narrow margin, British voters surprised markets overnight by voting ‘yes’ on a referendum to leave the European Union (EU). The highly charged debate on this issue largely centered on both the economic costs and benefits of being a part of the single market, as well as the open border policies that membership requires. By voting to leave the European Union, an unprecedented process has begun that may take years to complete. During this transitional period, trade agreements will need to ... [Continue Reading]
Articles and resources related to Market Conditions.
Following today's news of the UK's 'yes' vote to leave the EU, we recommend the following article from our partner, Dimensional Fund Advisors, for some additional context on the situation. Also please see today's post, An Update to CCM Clients: Market Conditions due to Brexit, by CCM Director of Investments & Research, Adam Hoffmann. *** UK’s EU Referendum Result On June 23, citizens of the United Kingdom voted to leave the European Union. While there has been much speculation leading ... [Continue Reading]
This week's Recommended Reading is from Yahoo! Finance and discusses how the simple reorganization of the Russell Indexes may cause the price of Apple’s stock to decline over the next week. Shares of world’s largest company by market cap, already down more than 8% this year, may fall further as index fund managers are forced to sell roughly $1.3 billion of the stock at Friday’s market close in order to reflect upcoming changes in one of the most widely tracked stock benchmarks. The driver of ... [Continue Reading]
Next Thursday, June 23rd, the people of Great Britain will vote on whether their country should remain a part of the European Union (EU). This is being referred to in the media as ‘Brexit.' As we move closer and closer to voting day, the polls are getting tighter and it appears there is a real possibility that the citizens of the UK may vote to leave the union. The ramifications of this vote will impact markets worldwide and will make a significant statement regarding the long-term viability of ... [Continue Reading]
On the topic of interest rates, the commonly held view is that we have nowhere to go but up. That line of thinking leads many people to believe that bonds will only lose money in the future and that they have no place in a diversified portfolio anymore. However, if the last several years have taught us anything, it’s that interest rates can indeed go lower from here. Just two years ago we would have scoffed at the idea of negative interest rates, yet nearly 30% of worldwide government bonds now ... [Continue Reading]