Dow Jones Industrial Average (Dow)

TRADE WAR GROWTH JITTERS

Stocks opened lower after some disappointing economic news out of China. The Dow is currently down 214 pts and the SPX is down .6%. Technology and communications sectors are down over 1% in early trading. On the other hand, financials, real estate and consumer staples are modestly higher. The bond market is gaining momentum today as yields fall. The 10-year US Treasury Note yield edged down to 1.73%.


*The foregoing content reflects the author's personal opinions which may not coincide with the opinions of the firm, and are subject to change at any time without notice. Content provided herein is for informational purposes only and should not be used or construed as investment advice or a recommendation regarding the purchase or sale of any security. There is no guarantee that these statements, opinions, or forecasts provided herein will prove to be correct. Past performance is not a guarantee of future results. Indices are not available for direct investment. Any investor who attempts to mimic the performance of an index would incur fees and expenses which would reduce returns. All investing involves risk. Asset allocation and diversification does not ensure a profit or protect against a loss. Finally, please understand that–as with other social media–if you leave a comment, it will be made public.

ALL EYES ON CORPORATE AMERICA--NOT THE FED OR CHINA

Stocks opened higher due to some encouraging earnings announcements (see below) and reports of a possible Brexit deal in Europe. The Dow is currently up 36 pts and the SPX is up .2%. Eight of eleven major market sectors are in the green, led by healthcare and industrials. Considering positive headlines about Brexit, it is surprising that European markets didn’t close uniformly higher. Yes, the UK’s FTSE 100 Index closed up by .57%, but the Eurostox 50 Index was flat and France’s CAC 40 Index fell. Commodities are not trading according to a risk-on pattern today. Gold is up and oil is down. The bond market is decidedly mixed. Safe-haven Treasuries are falling in price, whereas corporate bonds (and especially junk) are trading higher. The 10-year Treasury yield has been hovering around 1.75% over the last week.


*The foregoing content reflects the author's personal opinions which may not coincide with the opinions of the firm, and are subject to change at any time without notice. Content provided herein is for informational purposes only and should not be used or construed as investment advice or a recommendation regarding the purchase or sale of any security. There is no guarantee that these statements, opinions, or forecasts provided herein will prove to be correct. Past performance is not a guarantee of future results. Indices are not available for direct investment. Any investor who attempts to mimic the performance of an index would incur fees and expenses which would reduce returns. All investing involves risk. Asset allocation and diversification does not ensure a profit or protect against a loss. Finally, please understand that–as with other social media–if you leave a comment, it will be made public.

RETAIL SALES RESILIENT

Stocks sagged at the open on a knee-jerk reaction to the monthly retail sales report (see below)—and then quickly recovered. At the moment, the Dow and S&P 500 Index are flat. Materials (+.7%), industrials (+.4%) and consumer discretionary (+.3%) sectors are leading in today’s session. Laggards include technology (-.9%) and energy (-.5%). European markets are poised to close slightly higher, and most of Asia rallied overnight. WTI crude oil rose 1% to trade at $53.45/barrel. Gold is up .25% (and 15% so far this year). Copper fell 1% in early trading. Bonds are roughly unchanged today.

Today’s headlines proclaiming the death of consumer spending at the hands of the trade war are garbage. CNBC reports “US retail sales unexpectedly decline in a sign that consumer economy could be cracking.” This is nonsense. Yes, US retail sales declined .3% in September from prior month levels, but this is only because prior month sales were revised higher than originally reported. In addition, the headlines conveniently ignore the fact that September retail sales were 4.1% higher than year-ago levels. That growth rate is only slightly below that of August, and it is right in the middle of the six-year range. And finally, one of the key reasons for the minor drop in sales from August to September was falling gasoline prices—how is that bad news? There is absolutely nothing discouraging about this report. In fact, it might be a sign that the bears—those predisposed to repeatedly predict imminent recession and a long bear market—may be grasping at straws.


*The foregoing content reflects the author's personal opinions which may not coincide with the opinions of the firm, and are subject to change at any time without notice. Content provided herein is for informational purposes only and should not be used or construed as investment advice or a recommendation regarding the purchase or sale of any security. There is no guarantee that these statements, opinions, or forecasts provided herein will prove to be correct. Past performance is not a guarantee of future results. Indices are not available for direct investment. Any investor who attempts to mimic the performance of an index would incur fees and expenses which would reduce returns. All investing involves risk. Asset allocation and diversification does not ensure a profit or protect against a loss. Finally, please understand that–as with other social media–if you leave a comment, it will be made public.

EARNINGS SEASON TO THE RESCUE

The major stock market averages shot higher this morning (Dow +250 pts; SPX +1.1%). Healthcare (+1.9%) and financial (+1.9%) sectors are leading the way after a few better than expected earnings announcements (see below). On the other hand, defensive sectors such as utilities and consumer staples are in the red. Traders are taking the opportunity to shift risk-on…for the moment. Remember, the factor that trumps Trump (or geopolitics or trade war or just about every other negative factor) is growth. And if third quarter earnings season manages to beat expectations and calm fears about the outlook for 2020 corporate earnings, well then the stock market will move higher. Commodities are mixed in early trading. WTI crude oil is roughly flat at $53.65/barrel. Iron ore is up about .7%, but copper is down a bit. Gold sank nearly 1% as risk-on trading took hold this morning. Bonds are also selling off. The 10-year Treasury Note yield ticked back up to 1.74%. Long-term Treasuries are down about 1% and intermediate high-grade corporate bonds are down about .15%. Junk bonds, however, are trading up along with stocks.


*The foregoing content reflects the author's personal opinions which may not coincide with the opinions of the firm, and are subject to change at any time without notice. Content provided herein is for informational purposes only and should not be used or construed as investment advice or a recommendation regarding the purchase or sale of any security. There is no guarantee that these statements, opinions, or forecasts provided herein will prove to be correct. Past performance is not a guarantee of future results. Indices are not available for direct investment. Any investor who attempts to mimic the performance of an index would incur fees and expenses which would reduce returns. All investing involves risk. Asset allocation and diversification does not ensure a profit or protect against a loss. Finally, please understand that–as with other social media–if you leave a comment, it will be made public.

TRADE TALKS IN THE DRIVER'S SEAT

The major stock market averages surged higher this morning (Dow +430 pts; SPX +1.5%). Ten of eleven sectors are in the green, led by materials (+2.4%), industrials (+2.2%) and financials (+2%). Only the utilities sector has been left out (-.2%). Though trite, the reason given for this rally is “Trade Optimism,” according the Bloomberg. So we continue to trade in a range, knocked around daily by Tweets and vague headlines. In this case, President Trump Tweeted that “Good things are happening at China Trade Talk Meeting.” European stock markets closed sharply higher as well this morning, and Asia was up 1-2% last night. Commodities reacted as one might expect—gold fell 1% and oil rallied 1.4% to trade around $54.30/barrel. Bonds not surprisingly sold off. Long-term Treasury bonds are down more than 1% in early trading and high-grade corporates are down roughly a quarter of a percent. Only junk bonds, which typically trade along with the stock market, are modestly higher. The 10-year US Treasury Note yield climbed back to 1.75%.


*The foregoing content reflects the author's personal opinions which may not coincide with the opinions of the firm, and are subject to change at any time without notice. Content provided herein is for informational purposes only and should not be used or construed as investment advice or a recommendation regarding the purchase or sale of any security. There is no guarantee that these statements, opinions, or forecasts provided herein will prove to be correct. Past performance is not a guarantee of future results. Indices are not available for direct investment. Any investor who attempts to mimic the performance of an index would incur fees and expenses which would reduce returns. All investing involves risk. Asset allocation and diversification does not ensure a profit or protect against a loss. Finally, please understand that–as with other social media–if you leave a comment, it will be made public.

TRADE WAR ESCALATION

Stocks sank at the open on trade war escalation (see below). The Dow is currently down 305 pts and the SPX is down 1.4%. All eleven major market sectors are in the red. Semiconductor stocks are faring the worst; the Philadelphia Semiconductor Index (SOX) is down 2.7%. The VIX Index, a common measure of trader fear—shot back up to 19 in early trading. Commodities are trading mostly lower, except gold. WTI crude oil backed down to $52.30/barrel. Safe-haven Treasury bonds are in rally mode today. The iShares 20+ Year Treasury Bond ETF (TLT) is up .6%. So the mood is clearly risk-off.


*The foregoing content reflects the author's personal opinions which may not coincide with the opinions of the firm, and are subject to change at any time without notice. Content provided herein is for informational purposes only and should not be used or construed as investment advice or a recommendation regarding the purchase or sale of any security. There is no guarantee that these statements, opinions, or forecasts provided herein will prove to be correct. Past performance is not a guarantee of future results. Indices are not available for direct investment. Any investor who attempts to mimic the performance of an index would incur fees and expenses which would reduce returns. All investing involves risk. Asset allocation and diversification does not ensure a profit or protect against a loss. Finally, please understand that–as with other social media–if you leave a comment, it will be made public.

TRADE UNCERTAINTY COMING HOME TO ROOST

Stocks sank at the open on weaker economic data, but quickly recovered on hopes of another Federal Reserve rate cut. The Dow is currently up 50 pts and the SPX is up .5%. Lower interest rate expectations immediately drove the real estate sector higher (+1%), and the financial sector lower (-.4%). Commodities are following recent trend, with gold up .6% this morning and WTI crude oil down 1% to $52.10/barrel. We’ve seen significant volatility in oil this year, with a wide trading range of $46-$66/barrel. In the face of increased US oil production and the trade war, geopolitical events—Iran-sponsored terrorist attacks—haven’t been able to prop up oil they way they used to. Bonds are trading higher again this morning. The 10-year US Treasury yield fell back to 1.54%. Believe it or not, the yield curve has steepened. That is, the difference between the 10-year and 2-year Treasury yields has risen to +15 basis points, from -5 basis points five weeks ago. Steepening has been caused by falling short-term interest rates (i.e. Fed rate cuts).


*The foregoing content reflects the author's personal opinions which may not coincide with the opinions of the firm, and are subject to change at any time without notice. Content provided herein is for informational purposes only and should not be used or construed as investment advice or a recommendation regarding the purchase or sale of any security. There is no guarantee that these statements, opinions, or forecasts provided herein will prove to be correct. Past performance is not a guarantee of future results. Indices are not available for direct investment. Any investor who attempts to mimic the performance of an index would incur fees and expenses which would reduce returns. All investing involves risk. Asset allocation and diversification does not ensure a profit or protect against a loss. Finally, please understand that–as with other social media–if you leave a comment, it will be made public.

YET MORE VOLATILITY

Stocks sank at the open this morning on slowing economic growth concerns. At the moment, the Dow is down 448 pts and the SPX is down 1.77%. Industrials, tech, energy and materials are down more than 2% in early trading. Even the generally more defensive sectors like utilities are in the red. The VIX Index spiked above 20 for the first time since early September. European stock markets closed down by more than 2% and Asian markets fell overnight. Many technical analysts have been predicting increased near-term volatility, and here it is. The SPX has fallen about 4.5% from its all-time high. We’ve already seen two separate 5-7% corrections this year and this may be the third. Commodities are mixed. Copper is up .6%, and gold is up 1%. WTI crude, however, is down 2% to trade around $52.40/barrel. The bond market is reacting as expected. Safe haven assets like Treasuries are rising in price, high-grade corporates are flat, and lower quality junk bonds are falling.


*The foregoing content reflects the author's personal opinions which may not coincide with the opinions of the firm, and are subject to change at any time without notice. Content provided herein is for informational purposes only and should not be used or construed as investment advice or a recommendation regarding the purchase or sale of any security. There is no guarantee that these statements, opinions, or forecasts provided herein will prove to be correct. Past performance is not a guarantee of future results. Indices are not available for direct investment. Any investor who attempts to mimic the performance of an index would incur fees and expenses which would reduce returns. All investing involves risk. Asset allocation and diversification does not ensure a profit or protect against a loss. Finally, please understand that–as with other social media–if you leave a comment, it will be made public.

WE'VE REACHED CRUISING ALTITUDE, BUT KEEP THE SEATBELTS BUCKLED

Stocks sagged at the open (Dow -85 pts; SPX -.6%). Energy (-1.5%), healthcare (-1.2%) and communications services (-1.4%) are leading the way lower. On the other hand, defensive sectors like consumer staples and utilities are in the green. The VIX Index climbed to 16 and VIX October futures are up around 17.7. So expected volatility is rising a bit. Commodities are mixed in early trading. WTI crude oil is down .6% to trade around $55.90/barrel. Gold is slightly higher but copper is lower. Copper typically trades with economic fortunes in China, and is down about 2% so far this year. Bonds are rallying today (higher prices, lower yields). The 10-year Treasury yield dipped back to 1.68%. The only exception seems to be junk (or high yield) bonds, which are slightly lower. Investors watch junk bonds closely for signs of a waning economy. But following a massive decline in late December, they’ve rallied back to early 2018 levels.


*The foregoing content reflects the author's personal opinions which may not coincide with the opinions of the firm, and are subject to change at any time without notice. Content provided herein is for informational purposes only and should not be used or construed as investment advice or a recommendation regarding the purchase or sale of any security. There is no guarantee that these statements, opinions, or forecasts provided herein will prove to be correct. Past performance is not a guarantee of future results. Indices are not available for direct investment. Any investor who attempts to mimic the performance of an index would incur fees and expenses which would reduce returns. All investing involves risk. Asset allocation and diversification does not ensure a profit or protect against a loss. Finally, please understand that–as with other social media–if you leave a comment, it will be made public.

BETTER DATA = BETTER MARKET

Stocks opened modestly higher today (Dow +51 pts; SPX flat). The materials sector (+1.3) is leading the way, along with financials (+1%) and industrials (+.8%). On the other hand, defensive sectors like utilities and consumer staples are down. The immediate reason is better than expected economic data (see below). The VIX Index fear gauge fell to 13.6 and stock markets around the world rallied today. Commodities are mixed. WTI crude oil is flat around $55/barrel. Copper surged 2%. Gold is down about .6%. Bonds are selling off hard today after enjoying a huge rally from the end of February to the end of August. The 10-year Treasury yield has backed up to 1.88% from 1.50% this month.


*The foregoing content reflects the author's personal opinions which may not coincide with the opinions of the firm, and are subject to change at any time without notice. Content provided herein is for informational purposes only and should not be used or construed as investment advice or a recommendation regarding the purchase or sale of any security. There is no guarantee that these statements, opinions, or forecasts provided herein will prove to be correct. Past performance is not a guarantee of future results. Indices are not available for direct investment. Any investor who attempts to mimic the performance of an index would incur fees and expenses which would reduce returns. All investing involves risk. Asset allocation and diversification does not ensure a profit or protect against a loss. Finally, please understand that–as with other social media–if you leave a comment, it will be made public.

STOCK MARKET NEAR ALL-TIME HIGHS

Major stock market averages opened mixed this morning (Dow flat; SPX +.37%). Energy stocks are sinking on lower oil prices. On the other hand, consumer discretionary (+.8%), materials & tech (+.7%) are faring well. Overall, the stock market’s trend has been upward since the 6% correction in early August, and it is now close to all-time highs again. The same cannot be said of most overseas stock markets, which have generally underperformed the US for a decade or more.


*The foregoing content reflects the author's personal opinions which may not coincide with the opinions of the firm, and are subject to change at any time without notice. Content provided herein is for informational purposes only and should not be used or construed as investment advice or a recommendation regarding the purchase or sale of any security. There is no guarantee that these statements, opinions, or forecasts provided herein will prove to be correct. Past performance is not a guarantee of future results. Indices are not available for direct investment. Any investor who attempts to mimic the performance of an index would incur fees and expenses which would reduce returns. All investing involves risk. Asset allocation and diversification does not ensure a profit or protect against a loss. Finally, please understand that–as with other social media–if you leave a comment, it will be made public.

SOME OPTIMISM CREEPING IN

Stocks opened higher this morning (Dow +57 pts; SPX +.3%) on optimism regarding central bank easing and upcoming trade negotiations with China. Of note, China offered a trade concession by announcing that some goods imported from the US will be exempted from 25% tariffs put in place last year. Cyclical sectors like tech and energy are leading the way in early trading, whereas defensive sectors like consumer staples and real estate are flat to down. We’re seeing a very rapid rotation among stock traders away from defensives and toward cyclicals. Financials (i.e. banks) seem to the be the lone exception, failing to participate. Commodities are mixed. Gold is higher on the day (and up 16% so far this year). Copper is down; WTI crude oil is unchanged around $57.30/barrel. Bonds are trading roughly unchanged today. There is some sense that unless economic data continue to deteriorate it will be tough for the bond market to continue its massive year-to-date rally. Said another way, unless you believe recession is around the corner you probably can’t expect bonds to move much higher in the near term. The 10-year Treasury yield is holding steady at 1.73%.


*The foregoing content reflects the author's personal opinions which may not coincide with the opinions of the firm, and are subject to change at any time without notice. Content provided herein is for informational purposes only and should not be used or construed as investment advice or a recommendation regarding the purchase or sale of any security. There is no guarantee that these statements, opinions, or forecasts provided herein will prove to be correct. Past performance is not a guarantee of future results. Indices are not available for direct investment. Any investor who attempts to mimic the performance of an index would incur fees and expenses which would reduce returns. All investing involves risk. Asset allocation and diversification does not ensure a profit or protect against a loss. Finally, please understand that–as with other social media–if you leave a comment, it will be made public.

JOB MARKET QUESTION MARK

Stocks opened lower this morning (Dow -83 pts; SPX -.45%). Surprisingly, the energy sector surged 1.6% in early trading along with oil prices. Industrials and materials are also modestly higher. Most everything else is lower on the day. The real estate sector sank nearly 2% on rising interest rates, but for some reason the banks aren’t spiking. Usually those two groups are mirror images of one another on days when interest rates move sharply. Most commodities are trading higher. WTI crude oil is up 1.4% to trade at $58.60/barrel. Bonds are selling off and yields are moving higher. With the massive run-up in bonds this year, a correction makes a lot of sense even if the longer term direction of rates is still lower. The 10-year Treasury yield shot up to 1.67% from 1.56% last Friday.


*The foregoing content reflects the author's personal opinions which may not coincide with the opinions of the firm, and are subject to change at any time without notice. Content provided herein is for informational purposes only and should not be used or construed as investment advice or a recommendation regarding the purchase or sale of any security. There is no guarantee that these statements, opinions, or forecasts provided herein will prove to be correct. Past performance is not a guarantee of future results. Indices are not available for direct investment. Any investor who attempts to mimic the performance of an index would incur fees and expenses which would reduce returns. All investing involves risk. Asset allocation and diversification does not ensure a profit or protect against a loss. Finally, please understand that–as with other social media–if you leave a comment, it will be made public.

JOBS REPORT SPURS DEBATE ON HEALTH OF THE ECONOMY

Stocks opened modestly higher this morning (Dow +70 pts; SPX +.14%). Small gains are broad-based across consumer-facing sectors, as well as financials, healthcare, industrials, materials and real estate. Only utilities, communication services and tech are left out with small losses. Commodities are trading lower. WTI crude oil fell back to $55.70/barrel; copper fell .5% and iron ore is down something like 3%. Only gold (+.14%) is higher on the day. The bond market is modestly higher in today’s trade. The 10-year Treasury Note Yield is unchanged at 1.55%. Bonds have done well this year due to the sharp decline in rates. The iShares 20+Year Treasury Bond ETF (TLT) is up nearly 20% and the iBoxx High Grade Corporate Bond ETF (LQD) is up 13%. And in case you’re wondering, no it is not normal for both the stock and bond markets to post 10-20% returns over the same 8-month period.


*The foregoing content reflects the author's personal opinions which may not coincide with the opinions of the firm, and are subject to change at any time without notice. Content provided herein is for informational purposes only and should not be used or construed as investment advice or a recommendation regarding the purchase or sale of any security. There is no guarantee that these statements, opinions, or forecasts provided herein will prove to be correct. Past performance is not a guarantee of future results. Indices are not available for direct investment. Any investor who attempts to mimic the performance of an index would incur fees and expenses which would reduce returns. All investing involves risk. Asset allocation and diversification does not ensure a profit or protect against a loss. Finally, please understand that–as with other social media–if you leave a comment, it will be made public.

WELCOME ENCOURAGEMENT ON THE ECONOMY

Stocks gapped up at the open, continuing yesterday’s rally. The Dow is currently up 440 pts and the SPX is up 1.3%. The more cyclically sensitive sectors—industrials, financials, energy, tech—are up well over 2% in early trading. On the other hand, defensive sectors near all-time highs are selling off today (i.e. utilities, real estate). The VIX Index fell back to 16 and VIX October futures fell to 18. In other words, traders aren’t expecting a massive jolt of market volatility over the next 30-60 days. The reaction in commodity markets isn’t surprising: gold fell and copper rose. Even oil, which has had a hard time lately, is back up around $57.40/barrel in early trading. Bonds (except for high-yield “junk”) are selling off. The 10-year Treasury yield jumped back to 1.58% as the price fell. And by the way, over the last couple of trading sessions the yield curve turned positive.


*The foregoing content reflects the author's personal opinions which may not coincide with the opinions of the firm, and are subject to change at any time without notice. Content provided herein is for informational purposes only and should not be used or construed as investment advice or a recommendation regarding the purchase or sale of any security. There is no guarantee that these statements, opinions, or forecasts provided herein will prove to be correct. Past performance is not a guarantee of future results. Indices are not available for direct investment. Any investor who attempts to mimic the performance of an index would incur fees and expenses which would reduce returns. All investing involves risk. Asset allocation and diversification does not ensure a profit or protect against a loss. Finally, please understand that–as with other social media–if you leave a comment, it will be made public.

MARKET WEAKER ON TRUMP TWEETS AND ISM DETERIORATION

Stocks sank at the open this morning after the latest round of trade tariffs were imposed on $300bil of goods imported form China. On top of that, President Trump Tweeted that if he is reelected, hammering out a trade deal with China “would get MUCH TOUGHER.” The Dow is currently down 325 pts and the SPX is down .7%. Sectors down more than 1% in early trading include industrials, tech, financials and energy. European stock markets are poised to close down about .4% and Asian markets were mixed overnight. Commodities are mostly lower as well (except for gold +1.2%). WTI crude oil is back down around $53.25/barrel, a three-week low.


*The foregoing content reflects the author's personal opinions which may not coincide with the opinions of the firm, and are subject to change at any time without notice. Content provided herein is for informational purposes only and should not be used or construed as investment advice or a recommendation regarding the purchase or sale of any security. There is no guarantee that these statements, opinions, or forecasts provided herein will prove to be correct. Past performance is not a guarantee of future results. Indices are not available for direct investment. Any investor who attempts to mimic the performance of an index would incur fees and expenses which would reduce returns. All investing involves risk. Asset allocation and diversification does not ensure a profit or protect against a loss. Finally, please understand that–as with other social media–if you leave a comment, it will be made public.

Market Update: August 30, 2019

Stocks were trading slightly higher this morning (Dow +111 pts; SPX +.2%), but both major indexes are likely to end lower for August. Yesterday’s market optimism, attributed to easing trade war tensions, continued into today’s session.  Consumer Discretionary, energy, and technology sectors are down this morning.  Industrials, materials, and utilities are positive.  The dollar is slightly weaker against a basket of foreign currencies, but higher against the Euro. Oil prices dropped, but gold is higher.  Safe-haven Treasury bonds, as well as junk bonds, are flat to down on the day. The 10-year Treasury Note yield crossed back above 1.5%.


*The foregoing content reflects the author's personal opinions which may not coincide with the opinions of the firm, and are subject to change at any time without notice. Content provided herein is for informational purposes only and should not be used or construed as investment advice or a recommendation regarding the purchase or sale of any security. There is no guarantee that these statements, opinions, or forecasts provided herein will prove to be correct. Past performance is not a guarantee of future results. Indices are not available for direct investment. Any investor who attempts to mimic the performance of an index would incur fees and expenses which would reduce returns. All investing involves risk. Asset allocation and diversification does not ensure a profit or protect against a loss. Finally, please understand that–as with other social media–if you leave a comment, it will be made public.

Market Update: August 28, 2019

Stocks opened down at the open today but are now up (Dow +111 pts; SPX -+3%) as long term government bond yields dropped below the S&P 500 yield for the first time since 2009.  Nine of the eleven major market sectors are up, with only technology and utilities down.  The VIX Index—a common measure of fear among traders — is slowly moving below 20, to 19.7 this morning.  European markets are mixed as more Brexit political turmoil clouds and Italian government optimism makes for conflicting signals.  Asian markets are also mixed but overall are up roughly .2% currently.  Commodities, excluding gold and gold miners, are up in early trading.  A positive indicator,  gold is down about .4% but oil and copper are up in price.  WTI crude oil is up 2.3% to trade at $56.2/barrel. Bonds are mostly higher — except for bank loans. The 10-year Treasury yield fell below 1.5% yesterday.


*The foregoing content reflects the author's personal opinions which may not coincide with the opinions of the firm, and are subject to change at any time without notice. Content provided herein is for informational purposes only and should not be used or construed as investment advice or a recommendation regarding the purchase or sale of any security. There is no guarantee that these statements, opinions, or forecasts provided herein will prove to be correct. Past performance is not a guarantee of future results. Indices are not available for direct investment. Any investor who attempts to mimic the performance of an index would incur fees and expenses which would reduce returns. All investing involves risk. Asset allocation and diversification does not ensure a profit or protect against a loss. Finally, please understand that–as with other social media–if you leave a comment, it will be made public.

Market Update: August 27, 2019

Stocks opened slightly higher today (Dow 74 pts; SPX 0.1%) as uncertainty remains over the US-China trade war.  Utilities and real estate, both defensive sectors are leading the market higher in early trading.  Financials, energy, and Industrials sectors are in the red this morning. The SPX (S&P 500) is still about 4.5% lower than its late July all-time peak.  The VIX (Fear) Index is still close to its historical average, at about 20.  This is down from 25 in early August.  Gold is up about 13 this morning, signaling some fear remaining from the late July and early August volatility.


*The foregoing content reflects the author's personal opinions which may not coincide with the opinions of the firm, and are subject to change at any time without notice. Content provided herein is for informational purposes only and should not be used or construed as investment advice or a recommendation regarding the purchase or sale of any security. There is no guarantee that these statements, opinions, or forecasts provided herein will prove to be correct. Past performance is not a guarantee of future results. Indices are not available for direct investment. Any investor who attempts to mimic the performance of an index would incur fees and expenses which would reduce returns. All investing involves risk. Asset allocation and diversification does not ensure a profit or protect against a loss. Finally, please understand that–as with other social media–if you leave a comment, it will be made public.

Market Update: August 26, 2019

Stocks opened higher this morning (Dow +271 pts; SPX +.84%) on talks of restarting China and US trade dialogue. Interest sensitive and globally affected sectors — materials, real estate, and energy — are dragging. On the other hand, communications, staples, and tech are up in early trading. The VIX Index is holding its ground at 19.9.  European markets closed mixed, whereas Asian markets were all lower.  Oil is flat; WTI crude is trading at about $53.90/barrel. The dollar is currently stronger at the moment.  Bonds are trading flat to higher, as yields rise slightly.  Junk bonds are up about .38% after some better than expected reports on the economy, mainly in manufacturing data.


*The foregoing content reflects the author's personal opinions which may not coincide with the opinions of the firm, and are subject to change at any time without notice. Content provided herein is for informational purposes only and should not be used or construed as investment advice or a recommendation regarding the purchase or sale of any security. There is no guarantee that these statements, opinions, or forecasts provided herein will prove to be correct. Past performance is not a guarantee of future results. Indices are not available for direct investment. Any investor who attempts to mimic the performance of an index would incur fees and expenses which would reduce returns. All investing involves risk. Asset allocation and diversification does not ensure a profit or protect against a loss. Finally, please understand that–as with other social media–if you leave a comment, it will be made public.