Q3 2023 Market View – Fed at the Finish Line Introduction In this newsletter, we will address the advance in markets year to date, the inevitable end to the Fed’s rapid rate hiking campaign, equity market macro themes we are watching and believe will outperform in the second half of the year, and the AI…
DetailsIn this note, we explore the under-representation of certain sectors in the S&P 500 and why we believe it is important to diversify sector exposure given the disproportionate weights in the makeup of today’s S&P 500 index – leading us to our market of stocks vs. stock market comparison. We explain our investment philosophy and…
DetailsOil to $120 Again? Energy remains the only green sector for 2022, and while it has risen 68% since January 1st, it remains our preferred sector in the market. Much of the equity movement for the first half of the year followed closely with oil prices, but now that we have witnessed promising earnings reports…
Details75 bps Hike, Looking Slightly Higher for Slightly Longer This week, Federal Reserve (Fed) Chairman Jerome Powell announced the Fed’s decision to increase their key rate by 75 basis points (bps) or 0.75% to the target range of 3.00-3.25%, which was broadly anticipated by the market. The moral of the story for this meeting was…
DetailsThe latest Bank of America / Merrill Lynch survey of institutional investment managers showed incredibly high allocations to cash. To us, this is a positive contrary indicator.
DetailsWells Fargo commits multiple misdeeds yet awards their CEO Tim Sloan a pay raise. To read the full Bloomberg article, click below.
DetailsThe U.S. Department of Labor announced a jobs report today that was viewed by investors as “just right”. Click below to read the comments by Dr. Lewis Spellman, our firm’s Macro-economist.
DetailsIt has been nice to have 13 consecutive months without a decline in market indexes. We know it is uncomfortable when the market drops. On Monday (2/5/18), we saw the computers trigger heavy selling when the S&P 500 dropped below its 50-day moving average.
DetailsBitcoin has no shortage of true believers and naysayers. This InvestorPlace article presents the argument against Bitcoin as a real currency.
DetailsThe new tax reform law has Americans asking what they should be doing right now to maximize the benefits. Paying next year’s state property tax this year is one thing we suggest clients consider – consult your tax adviser to see if that is right for you.
DetailsInvestors are the most bearish they have been since the financial crisis – nearly 7 in 10 think that stocks are over-valued. This is a strong contrary indicator of future market direction.
DetailsBitcoin has been getting a tremendous amount of media attention lately. See our post for an interesting interview with Cameron Winklevoss and a recommendation for a good book on the subject.
DetailsWe continue to warn clients about risk to bond funds when interest rates rise. In this article, Morningstar discusses funds that may be especially vulnerable.
DetailsElon Musk’s TESLA auto company is an enormous success. However, the company is burning cash at a furious pace and may need to dilute shareholders by issuing more stock. These are two reasons why we’re cautious on TESLA stock — Bloomberg clearly lays out the issues in this article…
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