Each week in the Money Talk Podcast, Landaas & Company advisors offer insights for long-term investors by discussing the ever-changing circumstances of the financial markets. Try to answer the following questions, based on some of those conversations.
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1.
Russia’s war against Ukraine has added uncertainties to financial markets. In the Feb. 24 Money Talk Podcast, Adam Baley noted two examples where progress has been made. Which factors did Adam mention?
(Choose one.)
- Global supply chains and inflation
- Earnings and interest rates
- Monetary policy and exchange rates
- Trade deficit and unemployment
(See answer below.)
2.
Steep interest rate increases challenged bond investors in 2022, but they could be a boon over time, Dave Sandstrom said in the March 3 Money Talk Podcast. In what way did Dave note that higher yields might benefit investors, especially older retirees?
(Choose one.)
- Attracting more money to stocks
- Raising profit margins
- Lowering corporate debt obligations
- Providing more stability for fixed-income investments
(See answer below.)
3.
In the March 10 Money Talk Podcast, Tom Pappenfus talked about mixed signals investors were getting from stock and bond markets. He noted that yield curves were inverted. What are such inversions thought to suggest?
(Choose one.)
- A pending recession
- The pivot point for lower inflation
- The beginning of a bull market
- Peak deficit-to-GDP ratios
(See answer below.)
4.
In the March 17 Money Talk Podcast, Kendall Bauer talked about federal actions to rescue depositors at Silicon Valley Bank, in California. As Kendall explained, up to what deposit amount does the Federal Deposit Insurance Corp. cover?
(Choose one.)
- $50,000
- $100,000
- $250,000
- $500,000
(See answer below.)
5.
Also in the March 17 Money Talk Podcast, Steve Giles said Federal Reserve Board Chair Jerome Powell had to “pick his poison” in deciding how much and for how long to keep raising interest rates. Which of the following are two of the outcomes Steve said could stem from the Fed’s rate decisions?
(Choose one.)
- Higher inflation or recession
- Massive unemployment or cheaper stocks
- Lower interest rates or lower corporate earnings
- Higher debt ceiling or weaker supply chains
(See answer below.)
6.
In the March 24 Money Talk Podcast, Art Rothschild commented on a client’s observation that investments seemed to be in a “holding pattern” in recent months, despite occasional days of volatility. What did Art say was the trend’s lesson to investors?
(Choose one.)
- Check portfolio values frequently.
- Don’t let short-term performance distract from long-term strategies.
- Volatile days aside, expect portfolios to change little over time.
- Use occasions of stagnation to rebalance.
(See answer below.)
Answers
1.
a. Global supply chains and inflation
Learn more
Seeing blue sky through cloudy forecasts, by Kyle Tetting
2023 outlooks not bound by the calendar, by Kyle Tetting
2022 Investment Outlook Seminar, a Money Talk Video with Bob Landaas and Kyle Tetting
2.
d. Providing more stability for fixed-income investments
Learn more
Investor upsides as interest rates rise, a Money Talk Video with Kendall Bauer
Be patient holding bonds as rates rise, a Money Talk Video with Steve Giles
Finding a better place for our cash, by Joel Dresang
3.
a. A pending recession
Learn more
Leaning into the curve, by Joel Dresang
The data behind the fear of yield curve inversions, from the Federal Reserve Bank of St. Louis
How interest rates are shaping up, a Money Talk Video with Kyle Tetting
Talking Money: Yield Curve, a Money Talk Video with Kyle Tetting
4.
d. $250,000
Learn more
Deposit insurance FAQs, from the FDIC
Bank Products, from the Financial Industry Regulatory Authority
Finding a better place for our cash, by Joel Dresang
5.
a. Higher inflation or recession
Learn more
The Fed: What investors should know, a Money Talk Video with Dave Sandstrom
Over the river and through the Fed, by Kyle Tetting
How bonds fared as Fed has raised rates, a Money Talk Video with Kyle Tetting
6.
b. Don’t let short-term performance distract from long-term strategies.
Learn more
Stocks: Long-term, consistent returns, a Money Talk Video with Dave Sandstrom
Rebalancing: More investing, less emotion, a Money Talk Video with Steve Giles
Good things come to investors who wait, by Joel Dresang
PREVIOUS MONEY TALK QUIZZES
(initially posted March 31, 2023)
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