Why are the markets so volatile? We believe there are three basic reasons.
1. Concerns about interest rate increases and the impact on economic growth. Will further tightening by the Federal Reserve overwhelm tax cut benefits and cause the economy to move back towards recession?
Our position: we...
Oil prices continue to be under pressure on concerns about global growth and end user demand. Prices have fallen and energy costs are declining for both consumers and businesses. It is logical to ask what the impact of falling prices might be on the overall economy
One significant input in the...
Oil prices are dropping and will likely be reflective in gas prices in the very near future. With the United States now producing oil at a record pace, prices are under pressure which is a positive for consumers and businesses.
A brief summary of what is occurring was highlighted by a recent...
Tariffs continue to be in the news as China and the United States accuse each other of unreasonable and unfair trade practices. Reports suggest that the US administration is considering adding additional tariffs for all remaining goods imported from China. China has vowed to retaliate.
I am often...
With unemployment at multi-decade lows, one might conclude this is all positive for the economy. However, while low unemployment is a positive, it does carry with it some risks that investors need to be aware of.
The inability to hire qualified workers dampens the ability of businesses to sell...
The markets continue to fluctuate based on uncertainty around the Federal Reserve and it’s interest rate policy. This has impacted all asset classes as equities remain under pressure and bond prices fall on fears of rising rates. In particular, emerging markets continue to struggle as the United...
The markets have been extremely volatile as of late with the Dow closing down on Wednesday over 800 points. This volatility is likely related to concerns about interest rate policy and how that will impact corporate earnings. Federal Reserve policy impacts markets and sentiment. But what has...
The Federal Reserve continues to move towards increasing interest rates. The pace of the rate increase will be wholly dependent on the pace of inflation. As it stands now, inflation seems somewhat muted though there are signs that it may be picking up.
One factor that is significant in the...
I’m back from China. Let me start by saying there is nothing like being in the United States. While these research trips are helpful, the best part of every trip is returning to this great country.
I continued my discussions with China business leaders and am further convinced China is highly...
I continue with my visit to China talking with investors, strategists, business leaders, and others to determine the current state of economic relations between the United States and China. I believe strongly that it’s important to hear firsthand from local parties as well as directly observe...
As you know, China trade with the United States is a significant issue now. It’s driving market volatility and could very well determine whether or not the United States continues on its strong growth path. Additionally, it’s important to understand how the dispute will impact China as the country...
You probably have noticed that trade has been a big issue in the news. In particular, the US trade deficit with China and other low-cost labor countries have created a trade deficit situation with the United States.
A recent report highlighted in a recent CNBC article illustrates that things are...
