Investors Brace for Fed's Yellen's Speech

The video discusses the impact of potential rate hikes on the market, highlighting that a 25 basis point increase is seen as irrelevant for the long-term equity market. It notes the outperformance of small caps over large caps, indicating a positive economic outlook. The discussion also covers the potential for increased volatility and the resilience of the market, referencing past events like Brexit. The video concludes with a focus on the US as a safer investment option compared to Europe post-Brexit.

What does the market's outperformance of small caps over large caps indicate?

• A weaker economy

• An anticipated better economy

• Higher interest rates

• Increased market volatility

What was the market's reaction to the Brexit vote according to the transcript?

• A steady decline

• No noticeable change

• A strong rally led by emerging markets

• A significant crash

What could cause the VIX to spike, according to the discussion?

• A rise in small cap stocks

• A stronger dollar

• A Fed rate hike

• A decrease in oil prices

What investment philosophy is criticized in the context of Brexit?

• Growth investing

• Buy and hold

• Shoot first, ask questions later

• Value investing

Why are US markets considered a safer play post-Brexit?

• Higher dividend yields

• Better anticipated growth

• Lower interest rates

• Stronger currency