More Fed speakers should echo Powell’s comments. Inflation numbers out. We're always suspicious of market moves over prolonged holidays. Many traders and investors are away and some markets, like Japan, were only open for three days in nearly two weeks of business.  Europe checks out for nearly 10 days. So “small news makes big impact” or “worst day since last one” are headlines you see a lot. This is what we think is going on:

1. Economy weaker but not stopped and not near recession.

2. The inverted yield curve story is overdone but that doesn't stop people talking about it.

3. Volatility is normal. But if you haven’t seen it in a while it feels awkward.

4. The government shutdown, impasse and partisanship should not be a major problem.

5. 2018 was a bad year for multi-asset investors. The only markets not in correction or bear territory are Brazil and India.

6. Earnings and dividends are both likely to continue to grow 10%. There are no major profit warnings.

7. U.S. Treasuries have done well but they may be too pessimistic about a recession.

8. Trade and China are the very big elephants in the room. And will remain so.

- - -

Learn more about Brouwer & Janachowski's wealth management services: www.bandjadvisors.com

- - -

Subscribe to our email newsletter: www.bandjadvisors.com/subscribe