Guests including Matthew Jessup, Brad McMillan, Alison Williams, and Jared Dillian talk about markets, investing, big bank earnings, the Fed and inflation, geopolitical risks, corporate takeovers, attracting younger investors, interest rates, consumer credit card usage, oil volatility, Exxon Pioneer deal, mergers and consolidation, and upcoming deals in the market.
The Exxon-Pioneer deal is likely to face regulatory scrutiny due to its size and involvement in the oil and gas industry, but is expected to ultimately be cleared as it is not anticipated to significantly impact competition.
The Federal Reserve is expected to maintain a data-dependent approach to interest rates, with rate cuts dependent on future economic indicators. Registered investment advisors should focus on higher-quality fixed income assets and consider duration in portfolio strategies.
Advisors should carefully evaluate the risk-reward profile of high-yield bonds, considering concerns about valuation levels and the potential for lower interest rates in the future.
Deep dives
Regulatory Scrutiny on Exxon-Pioneer Deal
The Exxon-Pioneer deal is expected to face regulatory scrutiny due to its size and its involvement in the oil and gas industry. However, it is likely to ultimately be cleared, as the deal is not expected to significantly impact competition in the industry.
Federal Reserve's Stance on Interest Rates
The Federal Reserve is expected to maintain a data-dependent approach to interest rates in the near term, with the possibility of rate cuts being dependent on future economic indicators. Suggestions for registered investment advisors include focusing on higher-quality fixed income assets and considering duration as part of the portfolio strategy.
Outlook for High-Yield Market
While high-yield bonds have shown positive returns this year, there are concerns about valuation levels. Advisors should carefully assess the risk-reward profile and be mindful of potentially lower interest rates in the future.
Examining Microsoft's Acquisition of Activision
The acquisition of Activision by Microsoft is likely to face regulatory scrutiny due to concerns of vertical integration. However, the deal is expected to be cleared, as there is a robust market for video games and adequate competition among game creators.
Update on Kroger-Albertsons Merger
The Kroger-Albertsons merger may face challenges as it seeks antitrust clearance. The FTC is skeptical of previous divestiture remedies in the grocery industry and may consider legal action. The outcome of the merger is uncertain, pending further regulatory decisions.
Upcoming Antitrust Trials
The JetBlue-Spirit challenge and Adobe-Figma deal are set to go to trial. The outcome of these trials will determine whether the deals proceed or face further regulatory scrutiny.
Matthew Jessup CEO and Managing Partner with Jessup Wealth Management, joins us from the Commonwealth Financial Network 2023 National Conference to discuss markets and investing. Brad McMillan, CIO at Commonwealth, joins us from the Commonwealth Financial Network 2023 National Conference to discuss markets and investing. Alison Williams, Senior Global Banks and Asset Managers Analyst with Bloomberg Intelligence, joins to break down big bank earnings. Jared Dillian, investment strategist at Mauldin Economics and editor at The Daily Dirtnap, author, also a former Bloomberg Opinion columnist, joins to talk markets, the Fed and inflation, and geopolitical risks. Jennifer Rie, Senior Legal Analyst: Antitrust with Bloomberg Intelligence, joins to discuss several corporate takeovers, including Kroger-Albertsons, Microsoft-Activision, and Exxon-Pioneer. Karen McColl, Senior Vice President of Wealth Management at Commonwealth, joins us from the Commonwealth Financial Network 2023 National Conference to discuss markets and investing. Sam Millette, director of Fixed Income at Commonwealth, joins to discuss joins us from the Commonwealth Financial Network 2023 National Conference to discuss markets and investing. Hosted by Paul Sweeney and Matt Miller.