(Bloomberg) -- Supply Lines is a daily newsletter that tracks global trade. Sign up here.Most Read from BloombergNew York Subway Ditches MetroCard After 32 Years for Tap-And-GoLA Faces $1 Billion Budget Hole, Warns of Thousands of LayoffsDespite Cost-Cutting Moves, Trump Plans to Remake DC in His StyleChicago Transit Faces ‘Doomsday Scenario,’ Regional Agency SaysAmtrak CEO Departs Amid Threats of a Transit Funding PullbackFederal Reserve Bank of Chicago President Austan Goolsbee said the inflat
Trump’s ‘Big One’ on Tariffs Has Emerging Markets on Edge
(Bloomberg) -- The looming barrage of fresh US tariffs is leaving traders in emerging markets ready to bolt at the slightest whiff of risk.Most Read from BloombergNew York Subway Ditches MetroCard After 32 Years for Tap-And-GoLA Faces $1 Billion Budget Hole, Warns of Thousands of LayoffsDespite Cost-Cutting Moves, Trump Plans to Remake DC in His StyleAmtrak CEO Departs Amid Threats of a Transit Funding PullbackNYC Plans for Flood Protection Without Federal FundsLevies set to land on April 2, com
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Fed officials back cautious policy approach in light of economic uncertainty
(Reuters) -New York Federal Reserve President John Williams said on Friday the U.S. central bank's monetary policy is in the right place given the myriad uncertainties facing the economy, noting that there's no urgency to make any changes to interest rates. "Modestly restrictive" monetary policy "is entirely appropriate given the solid labor market and inflation still running somewhat above our 2% goal," Williams said in a speech in the Bahamas. In comments to reporters after his formal remarks, Williams said the Fed eventually will need to cut rates back to a level deemed neutral in regard to its impact on the economy.
3 Services Stocks Walking a Fine Line
Business services providers thrive by solving complex operational challenges for their clients, allowing them to focus on their secret sauce. But cutbacks in corporate spending and the threat of new AI products have kept sentiment in check, and over the past six months, the industry has tumbled by 2.3%. This performance mirrored the S&P 500’s decline.
3 Industrials Stocks in the Doghouse
Even if they go mostly unnoticed, industrial businesses are the backbone of our country. But they are at the whim of volatile macroeconomic factors that influence capital spending (like interest rates), and the market seems convinced that demand will slow. Due to this bearish outlook, the industry has tumbled by 7.6% over the past six months. This drop was worse than the S&P 500’s 1.8% loss.
2 Industrials Stocks with Exciting Potential and 1 to Ignore
Even if they go mostly unnoticed, industrial businesses are the backbone of our country. Still, their generally high capital requirements expose them to the ups and downs of economic cycles, and the market seems to be baking in a prolonged downturn as the industry has shed 7.6% over the past six months. This drawdown was worse than the S&P 500’s 1.8% fall.
1 Healthcare Stock with Solid Fundamentals and 2 to Turn Down
From novel pharmaceuticals to telemedicine, most healthcare companies are on a mission to drive better patient outcomes. But financial performance has lagged recently as players offloaded surplus COVID inventories in 2023 and 2024, a headwind for overall demand. The result? Over the past six months, the industry has tumbled by 9.2%. This performance was worse than the S&P 500’s 1.8% loss.
3 Value Stocks in the Doghouse
Value stocks typically trade at discounts to the broader market, offering patient investors the opportunity to buy businesses when they’re out of favor. The key risk, however, is that these stocks are usually cheap for a reason – five cents for a piece of fruit may seem like a great deal until you find out it’s rotten.
3 Small-Cap Stocks in the Doghouse
Investors looking for hidden gems should keep an eye on small-cap stocks because they’re frequently overlooked by Wall Street. Many opportunities exist in this part of the market, but it is also a high-risk, high-reward environment due to the lack of reliable analyst price targets.