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New York Times
3 days ago
- Business
- New York Times
Live Updates: U.S. Hiring Remains Solid, Sign of a Resilient Economy
When the Federal Reserve sets monetary policy, it has two goals in mind: Keep inflation at 2 percent and ensure that the labor market is healthy. A stable labor market fortifies the Federal Reserve's case that it does not need to be in a hurry to lower borrowing costs, keeping the central bank on course to extend its pause on interest rate cuts when it meets later this month. June's jobs report, which showed employers adding 147,000 jobs for the month and the unemployment rate ticking down to 4.1 percent, underscores the economy's resilience and helps to dispel the notion that it is in need of immediate support. 'There is no urgency,' said Priya Misra, a portfolio manager at J.P. Morgan Asset Management. 'They can keep pushing it out in the future,' she added on the timing of the Fed's next rate cut. The latest sign of a relatively sturdy labor market comes as President Trump directs a litany of attacks at Jerome H. Powell, the Fed chair, and the central bank more broadly for resisting his demands to immediately lower borrowing costs by a significant amount. Just in the last week, Mr. Trump called on Mr. Powell to resign and penned him a handwritten note blaming him for costing the country a 'fortune.' Part of the president's ire stems from the Fed keeping interest rates at current levels at a time when the government is trying to pass a massive package of tax cuts that is expected to balloon the deficit and increase what it costs the government to cover interest payments on the national debt. Already, the United States spends around $1 trillion a year to service those obligations. Mr. Powell has so far remained undeterred, telling an audience of policymakers, economists and investors at the European Central Bank's annual conference in Sintra, Portugal on Tuesday that as long as the economy is in 'solid shape,' the central bank thought it 'prudent' to wait and collect more data about how the economy is evolving in light of Mr. Trump's policies before taking any action. Asked directly about the president's pressure campaign on Tuesday's panel, Mr. Powell said he was 'very focused on just doing my job.' To restart interest rate cuts after an extended pause, which has been in place since January, officials at the Fed have laid out clear criteria. Either inflation, which is still elevated and at risk of moving higher because of tariffs, appears well enough contained or the labor market starts to meaningfully weaken. Inflation has stayed surprisingly mild in recent months, but most economic forecasters expect price pressures from Mr. Trump's tariffs to accelerate this summer. The threat of new levies continues to hang over the country's trading partners as the administration races toward a July 9 deadline to mint various deals. On Wednesday, Mr. Trump announced a preliminary pact with Vietnam. Tariffs are expected to raise inflation and also hurt growth, but Fed officials have started to diverge in terms of what the magnitude of the economic fallout might be. That has caused divisions regarding the timing of when the central bank should restart interest rate cuts, with two Trump-appointed officials in recent weeks making the case for a July cut if inflation stays muted. But other policymakers do not appear to be on board. Projections released in June showed that almost half of Fed officials forecast no cuts at all this year. A slim majority stuck to earlier estimates of half a percentage point worth of cuts. Thursday's jobs report wiped out any expectation that the Fed will lower interest rates in July, according to the federal funds futures market, and pushed back the projected timing of the first reduction to October. But economists have no yet ruled out interest rate cuts this year altogether. That is because there are nascent signs that the economy, while still solid, is slowing down. Private-sector hiring slowed in June overall, and the range of sectors still adding jobs stayed narrow. Health care, leisure and hospitality and state government accounted for a large share of the gains. The labor force also shrunk. One complication is that getting a clear read on the health of the labor market is likely to get more difficult in light of sweeping efforts by the Trump administration to limit the flow of people entering the United States, as well as its campaign to drive out immigrants already deeply rooted in the country. Monthly jobs growth is expected to slow, but later this year a more significant pullback in the pace may simply reflect a smaller labor force as opposed to weak demand for workers. Ms. Misra warned that immigration restrictions, coupled with tariffs, are likely to exacerbate price pressures, giving the Fed another reason to stand pat. 'They're going to want to see more data,' she said.
Bloomberg
5 days ago
- Business
- Bloomberg
How are fixed income investors responding to market volatility?
Overview This episode of the Market Dialogues podcast features Joseph Higgins, Head of Multi-Sector Portfolio Management on Nuveen's Global Fixed Income team, in a conversation with Tim O'Brien, Global COO of Pricing at Bloomberg. The discussion explores how rapid technological advances are reshaping the fixed income landscape, from how investors access and act on market data to the growing role of AI and automation in portfolio management. In the context of volatile markets, Higgins shares his perspective on navigating risk, identifying opportunities in the fixed income space, and adapting investment strategies to a changing environment. About the series In focus Featured insights from this episode of Market Dialogues: On active portfolio management during periods of volatility Joseph Higgins: [During periods of volatility] there are sectors or securities that don't trade and remain a bit of an unknown…But generally, those periods are periods of opportunity. We traded actively throughout that period [volatility period in April 2025], [guided by] our fundamental views and a lot of quantitative and proprietary overlays.* On fixed market opportunities JH: In terms of an operating methodology—because, as we're all aware, a lot of the tariff elements are not resolved…There are some areas that are more dislocated than others—munis would fold into that [investment opportunities] thematic. We may have, if inflation increases at the margins, a situation where rates stay [higher] a little bit longer than we otherwise would've thought. That could make leveraged loans attractive, potentially, given that they're floating-rate instruments, and you'd get more yield on those for longer… The last two that come to mind are the securitized sector, specifically Commercial Mortgage-Backed Securities (CMBS) and Asset-Backed Securities (ABS). While particularly CMBS have rallied enormously, there's still a lot of moving pieces in terms of the expertise needed to underwrite those securities properly and assess risk in markets that are still changing dramatically on a regional and national basis… On use of AI in fixed income markets JH: AI is obviously a dynamic and important element of what's going on in finance. We have an official AI policy at Nuveen. We are certainly of the view that while it's unlikely in the near term or intermediate term to impact decision making directly, we would not even attempt to use AI to make an investment decision.
Bloomberg
6 days ago
- Business
- Bloomberg
Markets Fundamentals Strong: Ten Cap's Jun Bei Lu
Ten Cap Co-Founder and Lead Portfolio Manager Jun Bei Lu speaks on Bloomberg TV about the challenges facing equity investors in the coming 6 months. (Source: Bloomberg)
Yahoo
7 days ago
- Business
- Yahoo
Diamond Hill Investment's Dividend Draws Attention After President's Share Purchase
Diamond Hill Investment Group, Inc. (NASDAQ:DHIL) is one of the 10 dividend bargains trading below insiders' prices. The company's President makes a positive impact on insider transactions following the Board of Directors' expansion and after reporting $29.381 billion in assets. A portfolio manager discussing investments with a client, highlighting the company's advisory services. Based in Ohio, Diamond Hill Investment Group, Inc. (NASDAQ:DHIL) is a boutique investment management firm primarily operating through its subsidiary, Diamond Hill Capital Management. The company's focus is on offering advisory and fund administration services across open-end mutual funds, private funds, and separately managed accounts. Its client base is comprised of both institutional and individual investors. On May 27, 2025, the company expanded its Board to seven members by appointing Austin Hawley as a new director. This ascension of the portfolio manager to Board member is expected to improve the company's client outcome. The company also reported its total assets under management of $29.381 billion as of May 31, 2025. Following these reports, a significant insider buying activity was noted at Diamond Hill Investment Group, Inc. (NASDAQ:DHIL), as the company's President, Jo Ann Quinif, acquired 2,750 shares at $144.01 each, amounting to a $396,027 investment. With the current market price at $141.74 and a dividend yield of 4.21%, Diamond Hill Investment Group, Inc. (NASDAQ:DHIL) may be an appealing opportunity to access steady income at a price below the insider's purchase. While we acknowledge the potential of DHIL as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 10 Low Risk Dividend Paying Stocks for June 2025 and 10 Best Dividend Stocks According to Jim Cramer Disclosure. None. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
25-06-2025
- Business
- Yahoo
DAVID GIROUX NOMINATED FOR 2025 U.S. MORNINGSTAR OUTSTANDING PORTFOLIO MANAGER AWARD IN ALLOCATION CATEGORY
Award nomination is seventh of Giroux's illustrious career BALTIMORE, June 17, 2025 /PRNewswire/ -- T. Rowe Price (NASDAQ-GS: TROW), a global investment management firm and leader in retirement, announced that David Giroux has been nominated for the 2025 U.S. Morningstar Outstanding Portfolio Manager award in the Allocation category. The nomination is part of the annual Morningstar Awards for Investing Excellence; it's Giroux's seventh in his 19 years as a portfolio manager at T. Rowe Price. Previously, Giroux was named as U.S. Morningstar Outstanding Portfolio Manager for 2012 and 2017. Giroux is chief investment officer and head of investment strategy for T. Rowe Price Investment Management. He is best known as portfolio manager of T. Rowe Price Capital Appreciation Fund (Ticker: PRWCX), his primary role since June 30, 2006. At the end of 2024, Giroux's Capital Appreciation Fund established the longest streak for outperforming peers in its Morningstar category – 17 consecutive years – among any U.S. equity or multi-asset fund under the same portfolio manager.¹ The Capital Appreciation Fund invests primarily in a blended portfolio of common and preferred stocks as well as fixed income and other securities to help manage risk and preserve principal value. It is classified in Morningstar's Moderate Allocation category, and it carries a 5-star rating from Morningstar overall and for the 1-, 3-, 5-, and 10-year periods as of March 31, 2025²; it also holds a Morningstar Medalist Rating of Gold.³ The Morningstar Awards for Investing Excellence recognize portfolio managers and asset management firms that demonstrate excellent investment skill, the courage to differ from the consensus to benefit investors, and an alignment of interests with the strategies' investors. The Morningstar Awards for Investing Excellence award winners are chosen based on research and in-depth qualitative evaluation by Morningstar's Manager Research Group. Methodology for the awards is available here. Giroux began his investment career in 1998 as an associate analyst at T. Rowe Price. The scope of his investment responsibilities has grown steadily during his tenure with the firm. In addition to the Capital Appreciation Fund, Giroux is portfolio manager or co-portfolio manager of: T. Rowe Price Capital Appreciation Equity ETF (Ticker: TCAF) T. Rowe Price Capital Appreciation Equity SMA T. Rowe Price Capital Appreciation and Income Fund (Ticker: PRCFX) T. Rowe Price Capital Appreciation Premium Income ETF (Ticker: TCAL) The total assets under management of portfolios under Giroux's leadership is $98.3 billion, including $64.8 billion in the Capital Appreciation Fund, as of March 31, 2025. T. Rowe Price's actively managed portfolios strive to outperform passively managed benchmarks and industry peers through the firm's longstanding practice of conducting rigorous global investment research and asking better questions and using critical thinking in an effort to deliver better outcomes for clients. QUOTES Steph Jackson, head of T. Rowe Price Investment Management"This latest nomination for David in the annual Morningstar Awards for Investing Excellence is yet another validation of his remarkable investment acumen and his stellar career. He is a truly special investor, and he is relentlessly driven by doing the very best he can for his shareholders. David has always had tremendous influence within the firm, but this nomination acknowledges his influence and impact in the asset management industry overall. We are grateful to Morningstar and its Manager Research Group for this prestigious recognition." David Giroux, portfolio manager, Capital Appreciation suite, chief investment officer and head of investment strategy, T. Rowe Price Investment Management"The Morningstar Awards for Investing Excellence are extremely meaningful to me and my team.4 I have always been blessed with tremendous support from my colleagues at T. Rowe Price, and this year is no exception. I share the honor of this nomination with my team, all of whom work incredibly hard on behalf of our clients, and I thank Morningstar for its generous recognition." ABOUT T. ROWE PRICE Founded in 1937, T. Rowe Price (NASDAQ – GS: TROW) helps individuals and institutions around the world achieve their long-term investment goals. As a large global asset management company known for investment excellence, retirement leadership, and independent proprietary research, the firm is built on a culture of integrity that puts client interests first. Clients rely on the award-winning firm for its retirement expertise and active management of equity, fixed income, alternatives, and multi-asset investment capabilities. T. Rowe Price serves millions of clients globally and manages US $1.62 trillion in assets under management as of May 31, 2025. About two-thirds of the assets under management are retirement-related. News and other updates can be found on Facebook, Instagram, LinkedIn, Twitter, YouTube, and Consider the investment objectives, risks, and charges and expenses carefully before investing. For a prospectus or, if available, a summary prospectus containing this and other information visit Read it carefully. T. Rowe Price Capital Appreciation Fund: The fund is subject to the inherent volatility of common stock investing. Its approach carries the risk that the market will not recognize a security's intrinsic value for a long time or that a stock judged to be undervalued may be appropriately priced. Because of the fund's fixed-income holdings or cash position, it may not keep pace in a rapidly rising market. Past performance cannot guarantee future results. ¹ As of December 31, 2024. Based upon a T. Rowe Price analysis of calendar year returns for all equity and multi-asset funds domiciled in the U.S. with greater than or equal to 17 consecutive years of beating their Morningstar peer group average while under the management of the same portfolio manager. Analysis excludes any portfolios managed by David Giroux in the same manner as the Capital Appreciation strategy. The Morningstar Category system was introduced in 1996, but it includes funds that began operations earlier. The Capital Appreciation Fund is in Morningstar's Moderate Allocation Category. ² The Overall Morningstar Rating™ for a fund is derived from a weighted average of the performance figures associated with its three-, five-, and ten-year (if applicable) Morningstar Rating™ metrics. Morningstar rated the fund 5, 5, and 5 stars among 682, 628, and 490 Moderate Allocation funds for the three-, five-, and ten-year periods (if applicable) ending March 31, 2025, respectively. The Morningstar Rating™ for funds, or "star rating," is calculated for managed products with at least a three-year history. Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a managed product's monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. ³ The Morningstar Medalist Rating™ is the summary expression of Morningstar's forward-looking analysis of investment strategies as offered via specific investment vehicles using a rating scale of Gold, Silver, Bronze, Neutral, and Negative. The Medalist Ratings indicate which investments Morningstar believes are likely to outperform a relevant index or peer group average on a risk-adjusted basis over time. Investment products are evaluated on three key pillars (People, Parent, and Process) which, when coupled with a fee assessment, forms the basis for Morningstar's conviction in those products' investment merits and determines the Medalist Rating they're assigned. Pillar ratings take the form of Low, Below Average, Average, Above Average, and High. Pillars may be evaluated via an analyst's qualitative assessment (either directly to a vehicle the analyst covers or indirectly when the pillar ratings of a covered vehicle are mapped to a related uncovered vehicle) or using algorithmic techniques. Vehicles are sorted by their expected performance into rating groups defined by their Morningstar Category and their active or passive status. When analysts directly cover a vehicle, they assign the three pillar ratings based on their qualitative assessment, subject to the oversight of the Analyst Rating Committee, and monitor and reevaluate them at least every 14 months. When the vehicles are covered either indirectly by analysts or by algorithm, the ratings are assigned monthly. For more detailed information about these ratings, including their methodology, please go to The Morningstar Medalist Ratings are not statements of fact, nor are they credit or risk ratings. The Morningstar Medalist Rating (i) should not be used as the sole basis in evaluating an investment product, (ii) involves unknown risks and uncertainties which may cause expectations not to occur or to differ significantly from what was expected, (iii) are not guaranteed to be based on complete or accurate assumptions or models when determined algorithmically, (iv) involve the risk that the return target will not be met due to such things as unforeseen changes in management, technology, economic development, interest rate development, operating and/or material costs, competitive pressure, supervisory law, exchange rate, tax rates, exchange rate changes, and/or changes in political and social conditions, and (v) should not be considered an offer or solicitation to buy or sell the investment product. A change in the fundamental factors underlying the Morningstar Medalist Rating can mean that the rating is subsequently no longer accurate. 4 Team members include: Peter Apockotos, associate analyst; Ira Carnahan, portfolio specialist; Taylor Chan, associate analyst; Stephen Chmil, trading; Theresa Fourcade, senior administrative specialist; Gregg Gola, trading; Kevin Klassen, quantitative analysis; Chase Lancaster, trading; Amanda Ludwitzke, quantitative analysis; Jordan McKinnie, quantitative analysis, portfolio management; Todd Nocella, trading; Justin Olsen, quantitative analysis, portfolio management; Vivek Rajeswaran, portfolio management; Carmelo Rubano, trading; Christopher Schubert, trading; Nikhil Shah, quantitative analysis; Farris Shuggi, quantitative analysis, portfolio management; Michael Signore, portfolio management; Brian Solomon, portfolio management; Russell Sterner, portfolio analyst; Tammy Wiggs, trading. Morningstar's Manager Research Group: Morningstar's Manager Research Group consists of various wholly owned subsidiaries of Morningstar, Inc. including, but not limited to, Morningstar Research Services LLC. Morningstar Manager Research provides independent, fundamental analysis on managed investment strategies. Morningstar views are expressed in the form of Morningstar Medalist Ratings, which are derived through research of three key pillars—People, Process, and Parent. The Morningstar Medalist Rating is the summary expression of Morningstar's forward-looking analysis of investment strategies as offered via specific vehicles using a rating scale of Gold, Silver, Bronze, Neutral, and Negative. A global research team issues detailed research reports on strategies that span vehicle, asset class, and geography. Medalist Ratings are not statements of fact, nor are they credit or risk ratings, and should not be used as the sole basis for investment decisions. A Medalist Rating is not intended to be nor is a guarantee of future performance. This press release is for informational purposes only; references to securities should not be considered an offer or solicitation to buy or sell the securities. T. Rowe Price Investment Services, Inc., distributor of T. Rowe Price funds and T. Rowe Price Investment Management, Inc., investment adviser for T. Rowe Price funds, and SMAs. T. Rowe Price Investment Services, Inc and T. Rowe Price Investment Management, Inc are affiliated companies. © 2025 T. Rowe Price. All Rights Reserved. T. Rowe Price, Invest With Confidence and the Bighorn Sheep design are collectively and/or apart, trademarks of T. Rowe Price Group, Inc. View original content to download multimedia: SOURCE T. Rowe Price Group
