The Independent Market Observer

Monthly Market Risk Update: September 2022 [SlideShare]

Posted by Brad McMillan, CFA, CAIA, MAI

Find me on:

This entry was posted on Sep 15, 2022 4:00:11 PM

and tagged Monthly Market Risk Updates

Leave a comment

Monthly Market Risk UpdateWe're excited to roll out a new and improved format for our Monthly Market Risk Update (just like we did with our Economic Risk Factor Update last week). Each month, we will continue to review the biggest market risk factors, but we’ll do so in a SlideShare format we hope you will find both easy to read and informative. Let’s take a closer look.

Equity markets fell in August, as a late-month sell-off brought all three indices into negative territory. The S&P 500 lost 4.08 percent during the month, while the Dow Jones Industrial Average dropped 3.72 percent. The Nasdaq Composite saw the largest decline, as the technology-heavy index was down 4.53 percent in August. The equity market sell-off was caused by rising interest rates, due to concerns about tighter monetary policy from the Fed.

At this point, the risks remain high, and markets may see further losses before we get back to setting new highs. With many of the indicators we track in this update dropping to red, we have kept the overall market risk level at a red light for now.

View a breakdown of the risks we’re watching in this SlideShare.

Let us know what you think of the new format in the Comments section.

This post was co-authored by Sam Millette.

 


Subscribe via Email

Crash-Test Investing
New call-to-action

Hot Topics



New Call-to-action

Conversations

Archives

see all

Subscribe


Disclosure

The information on this website is intended for informational/educational purposes only and should not be construed as investment advice, a solicitation, or a recommendation to buy or sell any security or investment product. Please contact your financial professional for more information specific to your situation.

Certain sections of this commentary contain forward-looking statements that are based on our reasonable expectations, estimates, projections, and assumptions. Forward-looking statements are not guarantees of future performance and involve certain risks and uncertainties, which are difficult to predict. Past performance is not indicative of future results. Diversification does not assure a profit or protect against loss in declining markets.

The S&P 500 Index is a broad-based measurement of changes in stock market conditions based on the average performance of 500 widely held common stocks. All indices are unmanaged and investors cannot invest directly in an index.

The MSCI EAFE (Europe, Australia, Far East) Index is a free float‐adjusted market capitalization index that is designed to measure the equity market performance of developed markets, excluding the U.S. and Canada. The MSCI EAFE Index consists of 21 developed market country indices.

One basis point (bp) is equal to 1/100th of 1 percent, or 0.01 percent.

Third-party links are provided to you as a courtesy. We make no representation as to the completeness or accuracy of information provided on these websites. Information on such sites, including third-party links contained within, should not be construed as an endorsement or adoption by Commonwealth of any kind. You should consult with a financial advisor regarding your specific situation.

Member FINRASIPC

Please review our Terms of Use

Commonwealth Financial Network®