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Markets & Economy

The Economy: June 2017

THE ECONOMY:  As of June 2017

Halfway through 2017, and it’s been mostly good news for financial markets. The S&P 500 is up 9.34 percent already, and the technology-heavy NASDAQ has gained 14.71 percent. After years of subpar returns, international markets have come to life as well, with the MSCI EAFE and MSCI Emerging Markets rising 13.81 percent and 18.43 percent, respectively. The Federal Reserve increased the federal funds rate another quarter-point at their last meeting, and also hinted at potentially shrinking the size of its balance sheet later this year. So far though, this has had little effect on longer-term bond yields. At 2.27 percent, the 10-Year Treasury Yield is still much closer to its yearly lows than to its high of 2.61 percent back in March.