A Rare Occurrence Following the two down months of February and March, the S&P has strung together four consecutive monthly gains, if we include July. This actually marks the third year in a row when the April – July period marked gains for each month consecutively. Historically, this has been a rare occurrence. In fact, […]

Forceful headwinds have confronted markets in 2018, a sharp contrast to last year’s steady rise. As this year unfolds, it is evident that it has not been a smooth ride for investors. Even though the major US market indices have rebounded from selloffs and the S&P 500 managed a 2.7% gain for the second quarter, […]

For the past year, one of the core investment positions for our clients has been Nextera Energy which owns Florida Power and Light. This company has expanded aggressively into the renewable power business. Nextera actually owns many of the windmills that you see throughout Oregon and Washington. They also have expansive solar farms. Power generated […]

Amazon and Netflix are two companies changing the landscape of business. They are true economy disrupters. The stocks of these companies thrive on the concept of a total addressable market (TAM). Investors take an aspirational view as Amazon and Netflix hold the promise of servicing many more customers than they currently have. Estee Lauder is […]

The US stock market remains stable with limited downside risk. It doesn’t mean that we are in a bull mode with all of the indexes rising. In fact, before today the Dow was down for the year and the S&P was only up 1.4%.  Overall, the markets are digesting the gains from the last two […]

The stock market has been struggling for most of this year. Mainly, it is trying to digest the gains from 2016 and 2017. During this time, it has been vital for the markets to hold critical long-term support levels. Looking back at 2018, initially, concerns over higher interest rates and inflation ruined the January advance […]

The Curious Symbiotic Relationship “………if Boeing and Amazon are targeted with a new trade policy, these stocks could take down the entire market. If the market falls, then the nation’s wealth affect is threatened. If the wealth effect is threatened, then the government’s new, inflated budget goes by the wayside. If the budget deficit explodes […]

The US economy added 313,000 new jobs in March compared to consensus estimates of 200,000. This was a big surprise to Wall Street. Further adding to the robust showing was the labor participation rate which showed more than 800,000 Americans entering the workforce. Markets interpreted this news favorably and stocks surged. Unlike the February jobs […]

The stock market suffered a severe setback at the outset of February. Numerous factors might have contributed to the mayhem but the overriding reason for the damage was fears of higher interest rates. The stock market has an indelible link with interest rates. This is a problem, right now. Lower interest rates push down borrowing […]

Thine Market is an Outlier The New Year started with a bang as the stock market shrugged off a languid, but steady, a pattern of advance in 2017 and shifted into a steepening ascent. The renowned investment manager, Jeremy Grantham, most famous for his longstanding bearish view, joined the enthusiasm by proclaiming, “As a historian […]