The S&P 500 is coming off one of its best years of all-time, with a price return of 28.9%. An initial reaction might be to take gains in anticipation of a pullback. History tells us such a response would be unwise, as the market has performed well following big up years. The graph below shows […]
Continue Reading ›November 2019 Economic Dashboard
In announcing their third rate cut for 2019 earlier this quarter, the Federal Reserve signaled that they believed this latest cut would be enough to support moderate growth and a continued buoyant job market. With the federal funds benchmark rate back down to a range of 1.5 percent to 1.75 percent, the focus now turns […]
Continue Reading ›October 2019 Economic Dashboard
Much has been in the news and on the minds of investors about a weakening US economy. Several developments in October helped to temper these fears, leading to a 3.3% rise in the S&P 500. Trade talks showed some signs of positive momentum, with the US and China announcing a “phase one” trade agreement. Better […]
Continue Reading ›September 2019 Economic Dashboard
The US stock market finished the third quarter near its all-time highs, which is remarkable given the volatility witnessed during the 90-day period. The media has been touting a recession resulting from the combination of the trade war and restrictive Fed monetary policy. Most economic indicators are pointing to slower growth, so the Fed has […]
Continue Reading ›June 2019 Economic Dashboard
The stock market continued the rally from the Christmas Eve low that marked the end of the fourth quarter “mini” bear market. Stocks at that time fell due to fears the Fed would continue to increase short-term interest rates to levels that would lead to a recession. The Fed has since held the line on […]
Continue Reading ›April 2019 Economic Dashboard
The stock market rally continued in April, with the Dow Jones 30 gaining 2.7% and the S&P 500 up 4.0%. The tech-heavy NASDAQ was the winner for the month with a gain of 4.7%. Better-than-expected corporate earnings in April, a decline in inflation pressures and an excellent GDP report late in the month were among […]
Continue Reading ›February 2019 Economic Dashboard
The bear market in US stocks that occurred in the fourth quarter of 2018 was triggered by a fear that the Federal Reserve would keep increasing interest rates to fight off incipient inflation pressures building in the US economy. Given the incredible US jobs growth machine, spanning 100 straight months of gains and counting, better […]
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