Traditional factors impacting the values of financial assets include various economic variables as well as monetary and fiscal policy. This course examines both the traditional forces and ‘macro’ trends currently in the marketplace. The Federal Reserve’s new framework of “ample reserves” and the state of quantitative tightening is explored. Why is gold trading near historical highs? How will the record U.S. budget deficits influence global asset valuation? These and other current issues will be examined.
Course Objectives
By the end of the course, participants will be able to:
- Define macroeconomics and evaluate the main economic variables followed by market practitioners
- Identify how monetary and fiscal policy influence inflation and interest rates
- Establish why inflation and interest rate levels are key to macroeconomics and growth
- Compare and contrast the impact of inflation and interest rates on capital market products
- Discuss the main functions of the Federal Reserve
- Explain the role of the Federal Reserve and its impact on interest rates and the economy
- Examine ample reserves, administered rates and other tools at the Federal Reserve’s disposal to manage monetary policy
Suggested Prerequisites: None
Program Level:Foundational
Advance Preparation: None
Computers and Financial Calculators: N/A
Recommended CPE Credits: 7