Stock buybacks have boomed in recent years. With corporate cash flows remaining high and potential rate cuts from the Fed, the trend appears set to continue.
Investors should be careful what they wish for in hoping for an aggressive Fed rate cutting cycle, given stocks tend to do better when cuts are slow and steady.
High-yield bonds have been one of the best-performing bond investments so far this year, but there may be better entry points down the road.
Our outlook on the 11 S&P 500 equity sectors.
Although we think it's too early to declare the economy is in a recession, risk is elevated. For investors who are concerned about a recession, municipal bonds may help buffer a portfolio.
It's been 38 years since I began my career on Wall Street and the lessons I learned along the way from some all-time investment greats always hold true.
Looking back at the 14 Fed rate cycles since 1929, certain patterns emerge. Still, investors instead need to examine what factors are driving the Fed now.
Markets were recently rattled by concerns the U.S. may slip into recession, but it's not clear that those fears are justified.
Bond prices whipsawed over the past month as volatility spiked across markets. What's next for fixed income markets?
Common wisdom is that consumers are pulling back on spending, but some green shoots are sprouting that might break ground as big retailers prepare to report second-quarter results.
Having been warned about the risk, investors now ask if the yen carry trade unwind is complete. Here's how far it might still go.
When the Federal Reserve lowers its key short-term interest rate, the impact isn't uniform across the financial universe.
What the Fed's monetary-policy tools signal about the market.
The softening trends in both inflation and labor data are sending a message that monetary policy is too restrictive.
The Federal Reserve kept its policy rate unchanged at the July meeting, but left the door open to rate cuts later this year.
Potential for another trade war fueled by a rise in global protectionist policies has investors revisiting the potential impact on stocks, inflation, and economic growth.
While it's too early to declare small caps' recent outperformance as a meaningful trend shift, we continue to think high-quality companies and industries will likely perform well.
Relatively high yields mean investors who have been focusing on short-term securities wouldn't need to sacrifice much yield if they chose MBS to help limit their reinvestment risk.
As Microsoft, Meta Platforms, chipmakers, and others prepare to report earnings, the AI-driven cloud and chip industries may continue to dominate the technology storyline.
Discover what surprised markets in the second quarter of 2024 and understand the potential drivers of volatility for the third quarter.
Softening inflation supports the potential for a Federal Reserve interest rate cut in coming months, but there are complexities below the surface.
Net interest income helped big banks, which begin reporting second-quarter earnings July 12, but there's concern about how long it can keep going.
Although the market is off to a rough start to the year, we think it should recover.
Almost every industry could ultimately incorporate AI, leaving a puzzle for investors seeking exposure. Using the internet as an example may provide some breadcrumbs.
The labor market continues to normalize and soften, but we think any further weakening might push the Fed to cut rates before the 2% inflation target is reached.
Owning only the U.S. stock market likely means being overweight Tech. But Tech stocks don't always outperform. Investors may want to look outside the U.S. to be diversified.
How to help position your portfolio in anticipation of an economic downturn.
Schwab Sector Views is our six- to 12-month outlook for stock sectors, which represent broad sectors of the economy. The Schwab Center for Financial Research (SCFR) combines a factor-based approach with a market and economic assessment to determine the ratings.
U.S. Treasury auctions are of interest lately due to growing U.S. debt and high interest rates. What are Treasury auctions, how do they work, and what should investors know?
This year's tale of two markets has underscored resilience at the index level but considerable weakness at the individual member level, leading to massive performance divergences.
Investment-grade corporate bonds remain attractive given their lower risk and relatively high yields. Long-term investors who can handle volatility might consider high-yield bonds and preferred securities, but we wouldn't suggest large positions in either.
A top risk for investors, elections may see a shift from centrist to more populist policy that could slow exports, raise inflation, and increase volatility in the global markets.
As expected, the Federal Reserve kept its policy rate unchanged at the June meeting, but left the door open to rate cuts later this year if inflation declines.
Certain segments of the economy and stock market have experienced much stronger recoveries this year, underscoring a severe bifurcation between the "haves" and "have nots."
Looking into the second half of the year, we are optimistic that returns will be stronger, but also expect volatility to remain elevated.
Historically, the level of U.S. debt has had no correlation with the performance of the stock or bond markets.
As the global economy builds on its recovery this year, markets may see increased volatility due to divergent central bank policies, geopolitics and election outcomes.
Discounted municipal bonds could expose you to unexpected taxes. Here's what to know before you buy.
Predicting Fed rate changes may be an inexact exercise, but understanding how the tools that do track it work can help investors weather uncertain markets.
The housing market looks to be on the road to recovery, but not without significant scarring for a considerable portion of potential homeowners.
The two largest emerging markets have taken very different paths, echoing the divergence in the economic and demographic landscape for these two countries.
Nvidia faces tough competition, law of large numbers as it prepares to report Wednesday.
Inflation data has continued to fuel uncertainty about when the Federal Reserve will begin to cut interest rates. It's a question with global implications.
Walmart kicks off retail earnings season as high interest rates and inflation raise concerns over continued robust consumer spending.
Bank lending standards are still restrictive, underscoring the Fed's view that financial conditions remain tight and any resulting economic weakness could keep rate cuts in play.
Europe's mild recession is over, with growth expected to continue. Valuations for eurozone stocks remain attractive, offering the potential for further price appreciation.
As expected, the Federal Reserve kept its policy rate unchanged at the May meeting, but left the door open to rate cuts later this year if inflation declines.
First-quarter earnings results have been healthy thus far, but key to the ongoing rally will be companies' recovery in revenue growth and strengthening forward guidance.
