From Morningstar: 2024-06-24 07:55:00

Dan Kemp, Morningstar’s Global Chief Research and Investment Officer, shares insights on key market performance and economic trends. The Morningstar US Market index rose by 0.67%, with lower-growth sectors outperforming rapid profit growth companies.

The fixed income markets remained stable, with Government bonds offering high real yields for investors. Investors are flocking to bond funds, while enthusiasm for corporate bonds persists despite tight credit spreads.

Some story stocks like GameStop and Trump Media & Technology Group plummeted due to a focus on politics rather than long-term returns. Nvidia, a market leader, fell 4%, offering investors other options to access generative AI besides Nvidia.

The PCE inflation index is expected to show a decline in inflation to an annualized rate of 2.6% in May. If this trend continues, investors may gain confidence in the market consensus, leading to a focus on long-term opportunities.



Read more at Morningstar: Markets Brief: US Inflation in the Spotlight Again