Investors Jump Back Into Stocks on Rate Hike Hopes, But Markets Remain Choppy

Investors seem to be re-entering the stock market due to FOMO after missing this year's rally. Global fund managers significantly increased their exposure to US stocks in September.
The S&P 500 has climbed 15% this year, defying expectations it would sink as the Fed hiked rates to curb inflation. This stalled-out rally has created a buying opportunity.
Investors expect the Fed is nearing the end of its rate hikes. This has brightened the outlook for a soft landing where inflation falls without sharp economic decline.
Still, bond yields rose to a 15-year high as investors bet rates will stay higher longer, putting pressure on stocks. Spiking oil prices could also hit stocks.
Heading into Q4 with high rate expectations, markets may be choppy. Tech stocks leading the rally could face pressure from higher-for-longer rates.

cnn.com

Relevant topic timeline:

8/21/2023

Stock market today: Global stocks up as traders await Fed conference for interest rate update

Global stocks rise as traders anticipate the Federal Reserve's summer conference for indications on inflation control and interest rate hikes.

8/22/2023

Stock market today: Global stocks up as traders await Fed conference for interest rate update

Global stocks rise as traders anticipate the Federal Reserve's summer conference for indications on inflation control and interest rate hikes.

8/23/2023

Morning Bid: 'Flash' business funk and AI buzz

Global stocks are set for a third consecutive daily gain as concerns over the euro zone's business contraction and Nvidia's earnings help cool bond markets and lower long-term US bond yields.

9/4/2023

China Rebound Leads Global Stocks Higher. Goldman Says there is More Stimulus to Come.

Global stocks rise as a Chinese rebound, prompted by eased mortgage rules, boosts the country's struggling property sector. Goldman Sachs predicts more stimulus to come.

9/12/2023

Fund Managers Make Record Shift to U.S. Stocks Over Emerging Markets Amid China Slowdown

Global fund managers have increased their allocation to U.S. stocks and reduced exposure to emerging markets, particularly China, due to concerns over the Chinese economy, according to Bank of America's monthly survey.

9/12/2023

Record $5.6 Trillion Piled Into Money Market Funds as Yields Hit 5%; Stock Rally Seen if Investors Put Cash to Work

Investors are flocking to money market funds as a safe alternative to buying stocks or bonds, with the record high net assets of these funds potentially fueling a year-end stock market rally, according to Bank of America.

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Posted 9/21/2023, 11:51:00 AM

Investors Jump Back Into Stocks on Rate Hike Hopes, But Markets Remain Choppy

Investors seem to be re-entering the stock market due to FOMO after missing this year's rally. Global fund managers significantly increased their exposure to US stocks in September.
The S&P 500 has climbed 15% this year, defying expectations it would sink as the Fed hiked rates to curb inflation. This stalled-out rally has created a buying opportunity.
Investors expect the Fed is nearing the end of its rate hikes. This has brightened the outlook for a soft landing where inflation falls without sharp economic decline.
Still, bond yields rose to a 15-year high as investors bet rates will stay higher longer, putting pressure on stocks. Spiking oil prices could also hit stocks.
Heading into Q4 with high rate expectations, markets may be choppy. Tech stocks leading the rally could face pressure from higher-for-longer rates.

cnn.com

Relevant topic timeline:

8/21/2023

Stock market today: Global stocks up as traders await Fed conference for interest rate update

Global stocks rise as traders anticipate the Federal Reserve's summer conference for indications on inflation control and interest rate hikes.

8/22/2023

Stock market today: Global stocks up as traders await Fed conference for interest rate update

Global stocks rise as traders anticipate the Federal Reserve's summer conference for indications on inflation control and interest rate hikes.

8/23/2023

Morning Bid: 'Flash' business funk and AI buzz

Global stocks are set for a third consecutive daily gain as concerns over the euro zone's business contraction and Nvidia's earnings help cool bond markets and lower long-term US bond yields.

9/4/2023

China Rebound Leads Global Stocks Higher. Goldman Says there is More Stimulus to Come.

Global stocks rise as a Chinese rebound, prompted by eased mortgage rules, boosts the country's struggling property sector. Goldman Sachs predicts more stimulus to come.

9/12/2023

Fund Managers Make Record Shift to U.S. Stocks Over Emerging Markets Amid China Slowdown

9/12/2023

Record $5.6 Trillion Piled Into Money Market Funds as Yields Hit 5%; Stock Rally Seen if Investors Put Cash to Work