By Jonathan Lederer, President, Lederer Private Wealth Management
As you are probably aware, the financial markets experienced a relatively large sell-off today on the heels of Thursday’s downside price moves following the Federal Reserve’s latest monetary policy announcement. Specifically, the S&P 500 stock index has dropped nearly 6% since Thursday’s Fed meeting, while more volatile emerging-market stocks have fallen 10% during the past day and a half.
While many investors were disappointed that the Fed did not unleash another huge wave of monetary stimulus, I believe the reasons for the sell-off run deeper. The attached piece details these reasons and also discusses investment strategy given the current market conditions.