Investment Review and Outlook – October 2022

Key Takeaways We believe that the Fed is committed to driving current inflation down to target levels (2 to 2.5%) and wants to make sure inflation will not flare up again due to premature easing, avoiding a repeat of the late 1960s and 1970s. The consequence of Fed actions is a high probability of recession…

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Investment Review & Outlook – July 2022

Key Takeaways Persistent inflation reached a 40-year high in the second quarter causing consternation for consumers, corporations, and the Federal Reserve. While the cure for high inflation (rate increases) may result in short-term pain for investors, it will benefit financial assets longer term. A 75-basis-point rate hike by the Fed in mid-June reflected a more…

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Investment Review & Outlook – April 2022

Key Takeaways Inflationary pressures, rising interest rates, and Russia’s invasion of Ukraine fueled market volatility in the first quarter with declines in both the stock market and the bond market. The Federal Reserve seeks to implement multiple rate hikes this year as a result of inflation that is well above its 2% target and a…

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Investment Review & Outlook – January 2022

Key Takeaways A strong economy, record-breaking stock market, and rising inflation were the hallmarks of 2021. Although we expect positive economic growth in 2022, COVID-19 and its variants will impact the path forward, both domestically and globally. Some inflationary pressures are expected to persist, but many are likely to decline due to supply chain repair…

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Investment Review & Outlook – October 2021

Key Takeaways Emerging COVID-19 variants have disrupted the progress of the economic recovery, but the economy’s overall health has strengthened. Inflationary expectations, potential tax rate increases, and political gridlock fuel uncertainty. Periods of volatility in both equity and fixed income markets should be expected, as we recently saw in September when the S&P 500 dropped…

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Investment Review & Outlook – July 2021

Key Takeaways The US is steadily emerging from the worst of the pandemic, and the economic recovery resulting from the reopening has been robust with the equity market surging to new heights. Inflationary expectations still rattle the markets, although the Federal Reserve continues to view inflation as a transitory issue. Changes in tax policy may…

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Investment Review & Outlook – April 2021

Key Takeaways Significant fiscal stimulus and a faster vaccine rollout than anticipated will fuel the road to economic recovery in 2021. A historic $1.9 trillion stimulus package extends benefits to millions of Americans struggling financially due to the pandemic, much of which should flow back into the economy through spending. Despite the potential strength of…

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Investment Review & Outlook – January 2021

Summary The vaccine rollout will fuel the pace and magnitude of the economic recovery in 2021. Government stimulus will help support struggling consumers, businesses, and state and local governments. With no foreseeable change in the existing low interest rate environment, equities remain poised to provide growth for investors. Key Takeaways It is important to note…

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Investment Review & Outlook – October 2020

Summary The stock market’s meteoric rise, as represented by the S&P 500 Index, from its pre-Covid high in mid-February through the low in mid-March to its new high in August, took only 126 days and was unprecedented in its speed and magnitude. We are in the midst of what appears will be a “square root”…

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Investment Review & Outlook – July 2020

The COVID-19 pandemic continues to negatively impact the health and economic well-being of Americans and the global community. The pressures and challenges as a result of the shutdown have been devastating to millions of unemployed workers and an increasing number of failing businesses. We expect a “square root” recovery—an economic bounce-back followed by a prolonged…

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