Market Commentary
-
The CPC Team
August 19, 2024
March 2023 Economic and Market Highlights
- The collapse of Silicon Valley Bank, Silvergate Capital's liquidation, and takeovers of Signature Bank and Credit Suisse in March prompted market volatility and apprehension regarding the banking system's stability.
- Coordinated efforts by regulators and banks helped calm the markets and avert a domino effect of failing banks, which supported positive returns in all asset classes except for small caps.
- The Federal Reserve hiked interest rates by 0.25% in March, with Fed Chair Jerome Powell reassuring investors that the banking system is safe, and deposit flows have stabilized.
- Inflation remains a concern, however considering the U.S. economy's resilience, particularly in the labor market, investors are divided on whether the Fed will raise rates or pause at the May meeting.
Ready to begin?
Contact us
