With less than 50 days to go until the US Presidential election the big question on investor’s minds is how will the market react? Many argue that looking at past elections is fruitless given the “unprecedented” nature of the current election, although the same argument is made time and time again during nearly every US […]
Sometimes Markets Pause, And That’s OK
The recent pullback in the S&P 500 and pick-up in volatility is a reminder that markets (and investors) sometimes can get ahead of themselves. No matter how strong a company is performing, or how robust the economy, market resets happen, and are a natural part of investing. It’s important to remember this, maintain a long-term […]
Consumer Spending Rebounded, But Can It Hold?
The importance of the US consumer for further market appreciation is a key belief of ours, and a significant driver of the US economy. With the fallout from the COVID-19 pandemic starting to stabilize stabilizing it’s important to watch unemployment and consumer sentiment trends closely, as we believe these indicators can provide insight into the […]
Learn From The Past, But Also Adapt
As long-term investors we are constantly studying the past so that we may learn from previous market environments and apply that knowledge going forward. However, relying too much on the past to dictate the future can be problematic, as the past rarely repeats itself the same way in the future. Similarities between past events and […]
Gold vs. The S&P 500
Gold price movements are complicated to predict and tend to be tied to a multitude of factors including interest rates, currency movements, inflation, and even economic sentiment. Over short periods of time gold can outperform the broader market, although over longer periods it tends to underperform. That said, historically gold has provided a hedge against […]
Business Bankruptcies Are… Falling?
Total business and non-business bankruptcy filings for 1H20 are down, even in the midst of high unemployment and future economic uncertainty. Historically bankruptcies peak shortly after recessions, but this time we think bankruptcies may peak later given the amount of fiscal and monetary stimulus injected into the economy following the COVID-19 pandemic. Bankruptcies filings in […]