Investing and Economic Commentary

The same populist sentiment that created Brexit earlier this year in Britain carried through in the American general elections yesterday. Very few polls had given Donald Trump any chance of winning the presidency, yet as the night wore on, it became increasingly obvious that America was voting for a dramatic change in course and against the status quo of American politics.
This morning, the government reported that the economy grew at an annual rate of 2.9% last quarter. This is a little stronger, but in line with, what we expected. We had said earlier that the slowdown experienced in the first half of the year appeared to be due to temporary factors, and that the bulk of the indicators we look at were pointing towards an acceleration in the second half of the year.
We all woke up this morning to some shocking news—Britain had voted to leave the Eurozone! This result was unexpected, as numerous polls had indicated the stay camp had a slim but definite lead going into the vote.
October’s employment report was just released. The report stated that the economy generated a surprising 271,000 jobs last month, much higher than analysts anticipated.
A question being tossed about right now is whether the current downturn in stock prices is likely to remain a shallow correction or turn into a 2008 style full-blown bear market. We have maintained that, thus far, economic indicators point toward
The Federal Reserve Board just announced that they are leaving interest rates unchanged. Analysts were divided 50/50 on whether the Fed would pull the trigger on higher
The Labor Department just issued the employment report for August. While the numbers looked a little weak on the surface, I believe the actual report was strong. The economy generated 173,000 jobs last month, a little below average for the last
This morning, the Labor Department reported that the economy created 223,000 jobs last month, slightly weaker than expectations for 228,000 jobs.
One of the bigger concerns regarding the global economy has been the potential for deflation in Europe. Deflation is a major economic problem that, once it sets in, is very difficult to get rid of. Declining prices can
Obviously the market action over the last few weeks has been a little unsettling. Volatility has spiked, with the Volatility Index (VIX), also known as the “fear gauge,” jumping from 11.97 on August 22 to 21.99 this last Friday, almost a doubling. The S&P 500 has dropped 6% from its peak on September 18.

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