Focus on the Fed

The video discusses the impact of earnings results from mega-cap technology companies on the market, highlighting their resilience and share buyback programs. Despite softer GDP and sticky inflation data, equity markets remained bullish. The fixed income market is volatile, with uncertainty around the 10-year yield. Equity market volatility is subdued, with investors considering cash alternatives. The possibility of a recession is discussed, with economists predicting a slowdown. The bond market is analyzed in the context of Fed policy, with markets miscalibrating the Fed's response to inflation.

How has the volatility index changed over the past few weeks?

What are the indicators suggesting about the likelihood of a recession?

What opportunities might arise for investors in the current market conditions?