Quantitative easing

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Disappointing Employment Report Clouds Economic Picture

By David O'Malley | April 10, 2017

Last week’s March employment data release disappointed market expectations as the economy added 98,000 jobs–about 100,000 less than estimates and the average gains experienced over the last six months. Average hourly earnings remained stable at a 2.7% year-over-year gain. On the positive side, the unemployment rate fell by 0.2% to 4.5% in March, which is the lowest rate since 2007.

Are Mergers and Acquisitions Driving Corporate Issuance?

By James Faunce | April 28, 2016

Corporate mergers and acquisitions (M&A) continue to be a significant driver of the investment grade corporate bond market new issue calendar. As shown in today’s chart, M&A activity made up almost 35% of non-financial issuance in 2015, making it an all-time record total supply year. 2016 is on a similar pace.

Penn Mutual Asset Management’s Economic and Market Review for 2015

By Mark Heppenstall | January 20, 2016

The U.S. economy has been one the few bright spots across the globe, as most other developed and emerging market economies performed below expectations.

Equity Market Still Likes Monetary Stimulus

By David O'Malley | October 26, 2015

Despite weak economic data and mediocre earnings, stocks have rallied sharply on expected additional monetary stimulus from the European Central Bank (ECB).

Has Quantitative Easing Led to Increased Risk for the Current Market?

By Zhiwei Ren | September 24, 2015

We have all seen the benefit of Quantitative Easing (QE) when it was coming in: It reduces market volatility and makes holding financial assets much more rewarding. What will happen to the market when QE starts to come out?

The Potential Impact of Greece, Puerto Rico and China on Investments

By Mark Heppenstall | July 9, 2015

What effect might the debt crises in Greece and Puerto Rico, and the downturn in the Chinese stock market, have on investments globally?

The Case for Adding Inflation Protection to a 60/40 Portfolio

By Zhiwei Ren | June 18, 2015

Currently, the Fed’s major concern is not inflation but disinflation. As a result, assets that tend to outperform during inflationary environments are all trading at historically attractive levels.

What’s Behind the Impressive Rally on the Shanghai Stock Market?

By Zhiwei Ren | April 23, 2015

China’s Shanghai index is up 32% year-to-date, and up 108% in the last year, making it easily the best performing equity index in the world. What is driving this rally?

CEO David O’Malley Talks “Baby Bear” Market on CNBC Power Lunch

By Keith Huckerby | April 17, 2015

In his return appearance to CNBC, CEO David O’Malley appeared in studio with anchor Amanda Drury.

Surprise – The ECB Does Not Disappoint

By David O'Malley | January 26, 2015

The European Central Bank (ECB) did not disappoint the markets with its quantitative easing (QE) program. The new program has a headline value of 1.14 trillion euros and involves monthly buying of 60 billion euros worth of bonds through September, 2016.



Disclosure Statement

This blog post is for informational use only. The views expressed are those of the author, Dave O’Malley, and do not necessarily reflect the views of Penn Mutual Asset Management. This material is not intended to be relied upon as a forecast, research or investment advice, and it is not a recommendation, offer or solicitation to buy or sell any securities or to adopt any investment strategy.

Any statements about financial and company performance of The Penn Mutual Life Insurance Company or its insurance subsidiaries (each, “Client”) made by the author is provided with a written consent from the Client.  Penn Mutual Asset Management is a wholly owned subsidiary of The Penn Mutual Life Insurance Company.

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Opinions and statements of financial market trends that are based on current market conditions constitute judgment of the author and are subject to change without notice.  The information and opinions contained in this material are derived from sources deemed to be reliable but should not be assumed to be accurate or complete.  Statements that reflect projections or expectations of future financial or economic performance of the markets may be considered forward-looking statements.  Actual results may differ significantly.  Any forecasts contained in this material are based on various estimates and assumptions, and there can be no assurance that such estimates or assumptions will prove accurate.

Investing involves risk, including possible loss of principal.  Past performance is no guarantee of future results.  All information referenced in preparation of this material has been obtained from sources believed to be reliable, but accuracy and completeness are not guaranteed. There is no representation or warranty as to the accuracy of the information and Penn Mutual Asset Management shall have no liability for decisions based upon such information.

High-Yield bonds are subject to greater fluctuations in value and risk of loss of income and principal. Investing in higher yielding, lower rated corporate bonds have a greater risk of price fluctuations and loss of principal and income than U.S. Treasury bonds and bills. Government securities offer a higher degree of safety and are guaranteed as to the timely payment of principal and interest if held to maturity.

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