When the year began, it seemed like the economic landscape was great and only getting better. Congress had just passed a sweeping tax reform package, leading economic indicators suggested acceleration in economic growth, corporate earnings growth was being revised higher, and even tensions in North Korea appeared to be softening. The stock market reacted favorably … Continued
Since 1982, the Federal Reserve Bank of Kansas City has held an annual economic policy symposium in Jackson Hole, Wyoming. This event, typically in late August, is closely watched by the markets in search of guidance about future changes in interest rate policy. Given the Fed’s recent track record of raising rates slowly, but lowering … Continued
Investors have had a lot to be excited about thus far in 2017. With stocks reaching new all-time highs and longer-term interest rates trending lower, every asset class, with the exception of commodities, has delivered a positive return. However, two important markets – the U.S. stock market and the U.S. bond market – have begun … Continued
A growing topic of conversation amongst many investors is how to properly think about their investment performance within context of the current environment of historically low interest rates and persistently low inflation. To answer that question, it is helpful to look back at the last forty years of history and incorporate that period’s steady decline … Continued
Over the last seven years, many investors have been hard pressed to find a single investment option with a relatively safe and consistent return. The long running backdrop of low interest rates, the real estate market slide of 2007, and Great Recession of 2009 have left conservative investors anxious for certainty and security. The … Continued
“You wish to surrender to me? Very well, I accept.” – The protagonist Westley in the novel The Princess Bride In the novel The Princess Bride, later made into a cult film, The Dread Pirate Roberts is not one person but several characters who successively take the same name in turn. The arrangement thrives because … Continued
Few asset classes performed more poorly than gold in 2013. But with the recent run-up in the precious metal into the start of 2014, investors are asking: is now the time to buy? Before you start stocking your basement with bullion, however, let’s take a look back at gold’s history. Gold is notorious for long … Continued
The greatest trick the devil ever pulled was convincing the world he didn’t exist.” – Keyser Söze, from the 1995 film “The Usual Suspects” When censors first sat down and watched the movie Psycho, they deemed it to be too violent. In response, Hitchcock reviewed with them the violent scenes frame-by-frame. To their amazement, there was … Continued
“The hills are alive with the sound of music, with songs they have sung for a thousand years.” – The Sound of Music, Richard Rogers and Oscar Hammerstein II Are we at the top of the mountain, or are investors still scaling the foothills? As we celebrate the 4th anniversary of the global economic recovery and … Continued