Certainty Returns to the Market on the Back of the Fed Announcement

With the end of QE officially announced, the markets have begun to digest a normalized economic environment. JJ Kinahan, Chief Strategist at TD Ameritrade, joins Jill Malandrino to discuss the market reaction to the Fed’s recent announcement, in which they disclosed the official end of quantitative easing. Embedded in the Fed’s announcement were a number of encouraging points regarding the employment picture and quality of jobs, indicating a positive backdrop for the economy going forward. Inflation expectations remain low and in combination with the improved GDP revision, equities should have room to run especially if earnings continue to deliver. Kinahan will be watching the financial sector closely as a leading indicator. So far all commentary from the bank CEO’s has been positive regarding the 2015 outlook.