Now an attractive entry point for long-term investors: JPMorgan strategist

“In general, markets seem to be retreating from the idea that everything is rosy and good. And to be fair, that’s not the case. It’s undeniable that there’s a lot to worry about — from ongoing tensions,” says Madison Faller, a global investment strategist at Harvard University. In the Middle East, to the “higher for longer” central bank policy and its effects, to the huge fiscal deficits, to the consumer pressure points.” JPMorgan Private Bank.

However, is there too much pessimism in the air? She thinks so. “Growth is expected to slow, but this is very different from calling for a blanket halt to economic activity. For example, the consumer may start spending less money and switching to cheaper brands, but for the most part, everyone who still wants a job has a job,” he says. Faller: “This dynamic is actually the key to a soft landing, which does not require an acceleration of growth, but rather enough of a slowdown to ensure that inflation pressures can deliver the last mile of progress.”

Another point she makes is that if the economy slows, bond yields should fall, providing relief to equity valuations. “We may be in an air pocket of discomfort, but the more pessimism the markets focus on, the better the prospects for future returns,” she says. “When markets are volatile, it can be helpful to refocus on what you want from your portfolio over the long term.”

It points to the bank’s 28th annual long-term capital market assumptions: annualized returns of 2.9% for cash, 5.1% for bonds, 7% for returns for US large-cap stocks, and 7.8% for global stocks. Don’t use Treasuries and relax — historically, every major asset class has performed better than cash over a 10- to 15-year period, she says. The bank also recommends alternatives such as real estate, infrastructure, private equity and hedge funds as hedges against inflation (although it should be said that private equity has suffered from rising interest rates).

market

US stock futures

ES00

NQ00

It rose, after two weeks during which the S&P 500 SPX fell nearly 5%. Gold futures

GC00

It traded at more than $2,000 an ounce. The yield on 10-year Treasury bonds (BX:TMUBMUSD10Y) rose, while oil futures rose

CL00

He falls.

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Buzz

Israel began a ground attack on Gaza, while Russia was forced to close an airport in Dagestan after hundreds tried to storm a flight coming from Tel Aviv.

This week’s economic calendar is loaded: Employment Cost Index on Tuesday, Job Openings, ISM Manufacturing Report and Fed Decision on Wednesday, and Non-Farm Payrolls on Friday.

There are also funding estimates from the Treasury Department, as well as the November refund announcement. “Either Treasury borrowing will trigger further supply tensions or the event will fall into the category of selling the rumor and buying the truth and thus paving the way for yields to drift back into familiar territory to leave the foray of 10-year yields above 5% as a faded (and potentially fading) memory.” ),,” say analysts at BMO.

Ike Perlmutter, former Marvel executive, is entrusting the Walt Disney Company

Dis

Activist investor Nelson Peltz’s stake, according to the Wall Street Journal.

McDonald’s

MCD

It beat expectations on earnings and revenue, in a week that will also see results from Pfizer

PFE

,
Advanced micro devices

AMD

,
And the big one, Apple

Camel

,
Thursday after closing.

President Joe Biden will sign an executive order requiring the industry to develop safety and security standards for artificial intelligence.

Dallas real estate investment firm Spirit Realty

SRC

Realty Income agreed to buy it for $9.3 billion in stock

Hey

.

Best of the web

Halloween Shoppers don’t panic.

One of the main sources of liquidity needed to buy US government debt is drying up.

an act The entire media industry misquoted the Hamas spokesman?

Highest indicators

Below are the most active stock market tickers as of 6 a.m. ET.

Chart

Julius De Kempeneer, Chief Technical Analyst at StockCharts.com, Provides this chart S&P 500 ETF SPY vs. iShares 7-10 Year Treasuries ETF IEF – Quick and Dirty Stocks vs. Bond measurement. He notes that after an upward trend that began in March, the ratio moved sideways after July, but now a top appears to have been formed. “As a result, the outlook for the next few weeks remains (strongly) in favor of bonds over stocks,” he says.

Random readings

Legendary basketball star Magic Johnson is now a billionaire.

Italian city The city of Bologna is closing its 12th-century leaning tower due to its extreme leaning.

Some bad cities are Prevent older children from trick-or-treating.

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