Macroeconomic Environment

Please follow the attached rubric.

Macroeconomic Environment. This section should focus on external factors that can cause markets to move, and how and why those factors influence performance. You will use this information later in the report to inform your conclusions about the companys market selection. Specifically, you should:
A. Assess how different economic environments, such as boom and bust cycles, affect markets both individually and collectively. In other words,
consider how economic growth or scarcity affects individual markets and how the economic environment for one market affects others. Support
your answer with examples from different markets and economic periods.
B. Explain how social and political climates can affect market performance, risks, and returns. Use real-world examples from different markets to
support your answer.
C. Analyze how interest rates and inflation affect market performance, using real-world examples from different economic periods to support your
answer. For example, how do interest rates affect business borrowing, personal investment, and lending?
D. Compare and contrast how different types of financial instruments, such as stocks, bonds, mutual funds, and commodities, respond to different
macroeconomic environments, analyzing how that might affect a companys IPO success. For example, are investors more likely to purchase shares of a newly listed company in certain contexts more than others? Will the cost of key commodities or services be higher in certain contexts?

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