“THE WILDCARD IS NOT DEPTH, BUT DURATION”

As anyone alive already knows, the market news over the past month has been unprecedented.  As the world has shut down vast portions of our economy in an effort to stop the spread of the dreaded Covid-19, financial markets have...

FEBRUARY 29, 2020

CORONAVIRUS PANIC

As a “numbers guy”, I regularly pour over all the economic reports that we receive from various governmental agencies and many of the reports that the public companies issue each quarter in an effort to determine the health and strengt...

HOW HIGH CAN WE GO?

With impeachment rhetoric raging and drones and missiles flying around Iraq, there has been plenty to concern investors over the past few weeks.  While these events can certainly cause volatility in our markets, nothing seems to be distressing the ma...

Fed Chairman Powell finally said it!  In his testimony to Congress’s Joint Economic Committee on November 13, Powell said:

“I think the new normal now is low interest rates, low inflation and probably lower growth.”

Since the Great Recession, establishment economists hav...

THE TRADE WARS CONTINUE

The financial press has been consumed recently with speculation about the outcomes of both the Fed’s latest meeting and President Trump’s ongoing trade negotiations with the Chinese.  As we warned in our last letter, there appears to be a stalema...

EARNINGS SEASON AGAIN

Every three months all companies that trade publicly are required to report their business results for the previous quarter.  Although not all companies report according to the calendar quarters, most of them do, and during the second week of April...

HAPPY BIRTHDAY BULL MARKET!

If you have listened to the news on the financial channels over the past couple of years, you have probably heard many of the pundits wax and wane about the age of our current bull market.  Most market followers mark the beginning of this bul...

WHICH MARKET WAS RIGHT?

Commonly accepted among stock market pundits is the belief that stock markets predict our economic future by six months or more.  Although historical data shows that the market has only about a 50/50 track record in that regard, recent market vol...

MARKET DOWN / ECONOMY SOUND

Santa’s sleigh is usually pulled by reindeer. This year, it looks as if it were pulled by a team of bears. With the Dow Jones Industrial Average down 8.7% this past month, this was the worst December since 1931.

As Barron’s said this week, “Wh...

 SPLIT DECISION

Thank goodness the elections are over! I believe that was the message from the 525-point surge in the Dow on the day after the election. I know I will be glad that all the negative campaign commercials will be absent from our televisions for the time bei...