The Economy We believe there are two fundamental tenets that are currently fueling investor optimism. First, we are closer to the election, which means we are closer to removing uncertainty around who will be president and which party will control Congress. We hear consistent feedback from investors that this election is difficult for many Americans. […]

Stock prices climbed higher last week for the second week in a row as investor optimism focused on a potential increased fiscal stimulus and the upcoming election. While the market would love to see a fiscal stimulus package come together before the election, the current positions of the Democrats and Republicans will make that a […]

The Economy We believe the labor market is one of the critical issues facing an economic recovery. More lay-offs were announced last week as companies take steps to protect profit margins amidst the uncertainty in the face of the pandemic. Last week, Disney, Shell, Allstate, United Airlines, and American Airlines were among companies that announced […]

Economic Update We have maintained that the labor market is the key to a sustained recovery in the economy. Small business historically drives labor. Small businesses include restaurants, nail salons, barber shops and lawn care companies. Many small businesses are caught in the grip of this pandemic and owners are unable to pay rent and […]

Economic Update As economic growth is subdued and large parts of the economy remain shut down in the face of a spreading coronavirus, the Federal Reserve contributed its narrative to this economic tragedy. At the regularly scheduled Federal Open Market Committee meeting last week, Chairman Powell announced a change in the Fed’s policy statement, making […]

Economic Update So much has changed since the beginning of 2020, affecting the economy in many ways. We are living through challenging times that are stretching our understanding of economics and capital markets. Below, we have organized our thoughts to help illustrate the issues facing investors: The COVID-19 pandemic has decimated the economy. First quarter […]

Equities – What Just Happened!? Jobless Claims Underscore Slow Economic Recovery Since the pandemic began to choke the economy over six months ago, layoffs remain widespread and the job market remains weak. Last week, 833,000 workers filed claims for unemployment benefits. This figure is not seasonally adjusted and represents an increase from the prior week. […]

The Fed Redefines its Inflation Target The Federal Reserve made history this past week by indicating that they would allow inflation to run above the 2% target. As the central bank to the United States, the Federal Reserve has a “dual mandate” to promote maximum employment while maintaining price stability. In other words, the Fed […]

The Economy We are at a critical point of inflection in the economy. As government support for unemployed workers dries up, will the consumer sector hold up in August? The government assistance provided through the Cares Act was effective in helping small businesses and consumers stay afloat. The data for June and July shows the […]

The Economy Although the domestic economy is showing some signs of life, make no mistake – it is still on life support. And, the “doctors” can’t agree on next steps to treat the patient. To add to the chaos, the doctors are going on vacation, so the patient is going to have to wait. In […]