FOMC Archives - Cboe Blogs

  • Education | Jan 19, 2016, 9:14 AM

    Fed Policy is Hawkish (No Foolin')

    Fed Policy is Hawkish (No Foolin')

    We have come to the point where Fed policy is really in a corner, and the only real way out is to distribute some pain to the markets. That has certainly been the message so far in 2016, but was certainly telegraphed over the past year or so, too. The Fed seems quite confident about the prospects for economic growth and the potential for rising inflation, enough they felt comfortable raising interest rates last month a 1/4 point - the first such move in nearly a decade. The minutes came out last[...]

  • Market News | Dec 17, 2015, 12:17 PM

    Monetary Policy (Finally) Shifts – Now What?

    Monetary Policy (Finally) Shifts – Now What?

    Yesterday, in a move more telegraphed than a Jay Cutler Pick 6, the Federal Reserve Board voted unanimously to raise the Fed Funds target rate by 25 basis points. Market watchers, and this blog’s audience don’t need a weatherman to tell them which way the wind blows. The question, as always is – what’s next? The “dot plot” points to a series of four (4) quarter point hikes over the course of 2016. We will see if the U.S. and Global economy remains on terra-firm,[...]

  • Strategy | Nov 20, 2015, 11:52 AM

    Small-Cap Rally RUT Delayed Year-End Play

    Small-Cap Rally RUT Delayed Year-End Play

    The recent market rally we have seen seen has been driven by big cap names such as AAPL, FB, GOOG, but this week it would appear small cap is catching up based on price action in the Russell 2000 small cap index (CBOE: RUT 11.77.32). Small cap stocks are traditionally a big favorite of mutual funds - popular investment vehicles for traditional retirement investors, the same individuals who are known for driving the year-end ‘Santa Clause Rally.’ As year-end approaches, these types of[...]

  • Market News | Sep 14, 2015, 10:14 AM

    Dollar Caution - Weekly Market Outlook

    Dollar Caution - Weekly Market Outlook

    The market may have peeled back off of its highs hit last week, but even with that dip the S&P 500 (SPX) (SPY) managed to close on Friday a solid 2.0% better than where it ended the prior Friday. It remains to be seen if stocks can sustain the uptrend; there are strong technical arguments from both sides of the fence. The good news/bad news is, things should come to a head this week and force the bulls and the bears to play their hand. Once they do (for better or worse), the market will get much[...]

  • Market News | Aug 31, 2015, 12:06 PM

    Volatility, Economy & The Fed - Weekly Market Outlook

    Volatility, Economy & The Fed - Weekly Market Outlook

    What a wild week! Perhaps the wildest we've seen in years, with a 5.3% plunge over the course of the first two days of last week more than wiped away by the 6.4% rebound seen over the course of the last three. We're still in the hole by more than 5% since the pullback started two weeks ago, but given the swings we're clearly capable of making now, that gap could be closed in just a couple of days. On the other hand, volatility is a two-way street - we could just as easily be seeing new multi-month[...]