Opinion: Raising interest rates scares the market, but stock investors focus on the wrong rate

The stock market has been spooked by rising interest rates. Let us reflect more carefully, from the point of view of value investing, on these concerns. Warren Buffett famously argued that investors should think of stocks as “bonds in disguise,” where stocks pay dividends, similar to coupons that bonds pay, and can be valued similarly. … Read more

Fed transparency = market volatility

Federal Reserve Funds Implicit Target Rate Federal Reserve, Bloomberg Markets have fallen since the worse-than-expected CPI reading, and the latest hawkishness by the Fed means no Powell “pivot”, no Fed “selling”, and no soft landing. The table shows the market peak of the four major indices, the level and percentage of changes to the market … Read more