Robust Earnings More Than Just a Tax Cut Story – Week Ended 5/11/18
US equities rebounded in the second week of May, with the broad S&P500 climbing by +2.4% and more cyclically sensitive areas of the market faring even better (Dow Transports +3.3%; Small-Caps +2.9% at the expense of defensive industries like Utilities -2.1%). The strong weekly performance was likely the combined result of unfaltering strength in 1Q […]
Tone Change – Commentary for May
Market participants appear to believe inflation is back and will be sticking around. That’s affecting how investors perceive the outlook and direction for the bond and stock market. As such, this may be the first time since 1990 that diversification benefits achieved by mixing bonds and stocks together are changing. Since late January, both stocks […]
Corporate Earnings Face Off Against Shifting Rate Environment – Week Ended 4/27/18
The final full week of April might best be described as a tug of war between big macro concerns and favorable micro inputs. All of which combined such that the domestic stock market was unable to find direction throughout the week and concluded virtually unchanged over the 5 trading days ending April 27 (as measured […]
Political Volatility Still Driving Financial Markets; Can 1Q Earnings Ride to the Rescue – Week Ended 4/13/18
Choppy market action that persisted throughout February and March is continuing this month against an increasingly unpredictable political backdrop. 2Q began with a horrible first day and stressed week, but the slide was reversed last week despite no shortage of fresh unsettling headlines. For the week ending Friday the 13th, the S&P added +2%; some […]
