JPMorgan: The Federal Reserve is expected to ease policy passively
ChainCatcher news, JPMorgan strategists indicate that the stock market may continue to be under pressure due to slowing economic activity, declining bond yields, and lowered earnings expectations. "We remain cautious about the stock market and expect the phase of 'bad news is bad news' to be approaching," Mislav Matejka wrote in the report. "In this context, risk trading should not be undertaken." The strategists noted that the Federal Reserve will begin to ease policies, but will do so more passively and in response to weak growth, "which may not be enough to drive a rebound."