In the latest video, members of the investment policy committee, James, Benjamin, and Lily delve into the latest trends and data analyzed by our team to inform our investment strategy. They provide insightful commentary on the recent Federal Reserve meeting and the state of inflation and interest rates.
The Federal Reserve meeting was a crucial event, as it provided insight into the central bank's approach to combatting inflation. As James highlights, inflation has been the primary cause of the ongoing bear market, and the best way to address it is through raising interest rates. The Fed has been clear that they are committed to controlling inflation, which has come down modestly from its 9.1% peak just a year ago.
One of the key developments our team is keeping a close eye on is the reopening of China's economy. At this point, China is experiencing a full and robust reopening of its economy, creating opportunity and strength for the global economy, as well as some concerning inflationary pressures in consumer and manufacturing focused sectors.
As always, potential risks in the current environment are top of mind for our team. We discuss headwinds such as the evolving relationship between China and the US, European inflation data, and the shifting trends in corporate earnings. We walk through our research team’s emphasis on analyzing earnings per share (EPS) compared to expectations, revenue growth, operating margins, future guidance, and the overall macroeconomic environment's impact on a company’s bottom line.
The video provides in-depth insights into our team's investment strategy and the factors considered when evaluating a company's potential. It is a must-watch for anyone seeking valuable insights into the investment world and is perfect to share with friends and family.