The risk-off sentiment continued last week as major market indices fell and the technology-dominate Nasdaq Index entered correction territory, defined as a 10% decline from its recent high. Market indexes have now declined three weeks in a row, with the S&P 500 Index falling 5.7%. Small cap and technology stocks fared worse, both falling more […]
Divergence in Asset Class Returns Source: Despite a 33% collapse in price during the 4th quarter, Bitcoin still managed to outperform traditional investment classes for 2021. WTI Oil, the S&P GSCI Commodity, and the Dow Jones Real Estate indices’ strong returns helped fuel value stocks to lead the post-lockdown recovery. The increase in the […]
Though you may not remember as far back as the beginning of 2020, both the economy and investment markets were in cruising along like a family headed down the expressway to summer vacation at the beach.  And then suddenly…well, COVID struck.  The impact of the pandemic and the response by our government and others around […]
In a week of volatility, all eyes were on global central banks. From major central banks like the U.S. Federal Reserve and the Bank of England to many smaller banks worldwide, the theme was similar, the rolling back of expansionary monetary policies. Between central bank action and the increasing threat of the Omicron variant of […]
What looked like another positive month heading into Thanksgiving quickly changed as the Omicron variant of COVID-19 was discovered in South Africa. The discovery of Omicron led to stock market volatility as traders sold stocks for bonds, sending the S&P 500 Index to a 0.7% loss for November. The small-cap Russell 2000 Index closed the […]
All the positive news surrounding corporate earnings and a strong October jobs report, which combined to lead markets to record highs, has taken a back seat. Right now, only one word matters—inflation. Last week, the Consumer Price Index reported a year-over-year increase of 6.2%, the highest since 1990. Economists have been calling inflation “transitory” since […]
The broadening global COVID-19 recovery faced headwinds leading to mixed asset class results in the third quarter. The S&P 500 (large U.S. stocks) returned 0.58% for the quarter, while the Russell 2000 (small U.S. stocks) was down -4.36%. Emerging market stocks underperformed, driven by economic and regulatory concerns from China. The Evergrande Group, a massive […]
As markets limped to the end of September, many wondered what the fourth quarter had in store. Despite the continued supply chain issues, inflation worries, Federal Reserve uncertainty, and weaker than expected GDP growth, companies’ earnings gave markets a catalyst to move higher and save the concerns for another day.  All it took was the […]