Market Commentary

Insights

Cumberland Advisors Market Commentary offers insights and analysis on upcoming, important economic issues that potentially impact global financial markets. Our team shares their thinking on global economic developments, market news and other factors that often influence investment opportunities and strategies. Our readers appreciate its timeliness, depth of analysis, and quality of research.

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  • Powell at Jackson Hole
     Author(s): Robert Eisenbeis, Ph.D. | Wed September 4, 2024

    Powell at Jackson Hole


    As is customary, the FOMC chair Powell led off the prestigious conference held by the Federal Reserve Bank of Kansas City in Jackson Hole, Wyoming. In his August 23 keynote speech, he suggested, in a decisive break from his usual practice, that a rate cut was likely at the FOMC’s September…


  • Today's Data: Personal Consumption Expenditures, Personal Income, and PCE Inflation: David Berson's Economic Brief
     Author(s): David W. Berson, Ph.D. | Fri August 30, 2024

    Today's Data


    PCE inflation as expected, and financial markets like it.


  • Federal Reserve Independence
     Author(s): Robert Eisenbeis, Ph.D. | Wed August 28, 2024

    Robert Eisenbeis is the Vice Chairman and Chief Monetary Economist


    The issue of Federal Reserve Independence, when it comes to monetary policy, once again arose recently, when former President Trump and his running mate argued that the president should have a say in the formulation of monetary policy. They argued that they had unique insights that are more…


  • Buyer Beware
     Author(s): Robert Eisenbeis, Ph.D. | Thu August 15, 2024

    Cumberland Advisors


    The week and a half following the FOMC’s July meeting has been filled with extreme market volatility, demonstrating behavior that experts say market participants should not do and that is to react to a single data point upon its release. We have had many such data and information releases, and it…
  • The Fed's Balance Sheet
     Author(s): David R. Kotok | Wed August 14, 2024

    Cumberland Advisors


    Now that financial market agents and media pundits have collaborated in planning for one, two or three Fed rate cuts this year, the attention, and the debate, has moved to the size of the Fed’s balance sheet. By my observation, you can line up ten economists and get eleven opinions. The truth is…


  • July CPI: Implications for the Fed: David Berson's Economic Brief
     Author(s): David W. Berson, Ph.D. | Wed August 14, 2024

    July CPI: Implications for the Fed


    July inflation about as expected – good enough for the Fed to ease in September. The July CPI rose by 0.2 percent, meeting market expectations. The core CPI (removing the volatile food and energy components) also increased by 0.2 percent (equal to market expectations). As has been the case…


  • Profits, GDP, Markets
     Author(s): David R. Kotok | Sun August 11, 2024

    Profits, GDP, Markets


    Profits and GDP help explain the stock market rally of the post-Covid period. 


  • Bonds Go Big
     Author(s): John R. Mousseau, CFA | Wed August 7, 2024

    Cumberland Advisors


    “If something cannot go on forever, it will stop.”– Herb Stein, former Chairman of the Council of Economic Advisers under Presidents Nixon and Ford 


  • A Weaker Employment Report – Is a Recession Imminent? David Berson's Economic Brief
     Author(s): David W. Berson, Ph.D. | Fri August 2, 2024

    Weaker Employment Report


    So, is the economy finally downshifting to the slower pace of trend growth – or are we transitioning from above-trend growth to recession? The 4.3 percent level of the unemployment rate triggers the Sahm Rule.
  • CCC? Not For Me!
     Author(s): David R. Kotok | Sun July 28, 2024

    CCC?


    This quote was a lead item in Michael Gayed’s Lead-Lag report on July 24th:


 

 

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Plutarch