With four months to go, stock-fund investors shouldn’t expect a positive 2022
Fund investors might have to concede that 2022 will be forgettable.
The average U.S.-stock mutual fund or exchange-traded fund is down 17.3% for the year to date, through August, according to Refinitiv Lipper data. That includes a 3.5% average decline in August, reflecting the stock market’s reaction to Fed Chairman Jerome Powell’s comments that the central bank will keep raising interest rates to fight inflation, despite recession risk.
The advice for fund investors is, of course, to maintain a long-term view. It is unlikely that the stock market—and accordingly, the average stock fund—will be able to post a gain for all of 2022. Meantime, the market’s movements will be all about the Fed and inflation. The S&P 500 and Dow Jones Industrial Average both fell just over 4% in August, mainly because of the end-of-month declines tied to the Fed; the Nasdaq Composite Index fell closer to 5%.
“Inflation is a bit like the bogeyman from horror movies—persistent and resilient,” says Katie Nixon, chief investment officer for Northern Trust Wealth Management. In her latest market commentary, Ms. Nixon says that Mr. Powell’s comments affirmed her belief that the Fed will likely stay aggressive into 2023, potentially raising its federal-funds rate by an additional 0.75 percentage point in the September meeting.
Österreich Neuesten Nachrichten, Österreich Schlagzeilen
Similar News:Sie können auch ähnliche Nachrichten wie diese lesen, die wir aus anderen Nachrichtenquellen gesammelt haben.
Monthly Forex Seasonality – September 2022: US Dollar Stronger; Gold & Stocks WeakerThe ninth month of the year typically sees a strong performance by the US Dollar. The Euro and the Japanese Yen tend to underperform the rest of the majors in September. September has been a weak month for both gold prices and US stocks.
Weiterlesen »
Ciara Watches the US Open in a White Mini ShirtdressSee the best US Open 2022 celebrity outfits, from Zendaya's miniskirt to Gigi Hadid's cutout top.
Weiterlesen »
Celebs React to Serena Williams' U.S. Open Loss - E! OnlineStars, including fellow athletes, are rallying behind Serena Williams after she played what is likely her last pro tennis match, losing at the 2022 U.S. Open.
Weiterlesen »
Watch Nick Kyrgios Break Out Wild Celebration in US Open WinNick Kyrgios had an interesting celebration after earning a point against J.J. Wolf in the third round of the 2022 U.S. Open on Friday.
Weiterlesen »
Serena Williams is most tweeted about female athlete ever, Twitter saysWilliams was defeated by Ajla Tomlijanovic of Australia during their women’s singles third-round match Friday at the 2022 U.S. Open, likely marking the end of her storied 27-year tennis career.
Weiterlesen »