Friday, July 26, 2019

Howard Marks Memo: On the Other Hand

Link to Memo: On the Other Hand
Expectation that the Federal Reserve will cut interest rates has been a primary factor driving investor sentiment and actions in recent months. It should be noted, though, that the considerations and actions of the Fed are part of a complex ecosystem that has financial, political and behavioral components that come with considerable uncertainty. In his latest memo, Howard Marks addresses what the Fed's actions are predicated on, whether low rates are permanently a good thing, and how investors should view the Fed's rate management.