We are pleased to provide a digital copy of Portfolio Insights, our quarterly newsletter. Table of Contents: Stock Market Summary Bond Market Review Tariffs and Trade Wars New at Acropolis The Big Picture & Fast Facts Click here to read the issue: Q1 2018 Portfolio Insights
Concerns about a trade war flared back up again last week. The US released a list of proposed tariffs on some $50 billion worth of Chinese imports. The 25 percent levies reach broadly, including medicine, aviation, semiconductors and consumer goods like dishwashers, snow plows and motorcycles. Beijing was quick to respond with reciprocal tariffs, announcing $50 billion on 106 products including soybeans, automobiles, chemicals and aircraft. Some analysts pointed out… Read More
Like every industry, the investment community goes through ‘hot’ trends that grab everyone’s attention and a lot people’s dollars. One of the reason that I’ve attended Schwab’s annual conference for the past 16 years is that I like to see these trends in the form of sales pitches to advisors. I didn’t pick up on this in the very early days, but it became obvious after the 2008 financial crisis… Read More
Over the last few months, I’ve read multiple articles making the claim that the correlation between stocks and bonds is shifting and that the new relationship will negatively impact portfolios. One recent Bloomberg article, titled ‘Easy Allocation Models ‘Doomed’ as Diversification Breaks Down’ really set me off and caused me to take a closer look at some of these claims. The thrust of the claim is that the recent negative… Read More
I like to think that longtime readers have picked up on my love for all things markets. I also love the movies and in honor of the Oscars last night, I thought that it would be fun to list the best (and worst) Wall Street movies of all time. To make this list even more fun, I’ve included links to trailers and clips, but I have to warn you about… Read More
On February 5th, Jerome ‘Jay’ Powell was sworn in as the 16th Chairman of the Federal Reserve, following Janet Yellen, who served one term starting in 2014. Powell’s first day on the job was the sharpest day of the recent stock market selloff, when the S&P 500 lost more than four percent. I don’t think that the market fell because of the new Fed Chair, but I have read a… Read More
Last week’s Daily Insight was a little long and a little technical, so today I am going to keep it short and sweet. The market appears to have shifted back into rally mode with concerns about inflation, rising bonds yields or volatility, seemingly falling by the wayside. At this point, this correction seems a lot like the last two, although as I said last week, it’s a little too early… Read More
While I think it’s far too early to say that the correction is over, the sharp rallies over the past two days are welcome signals that suggest the forced selling that characterized last week’s sharp daily losses may be over. My view of the recent market selloff has two components. First, as I outlined on last Monday, February 5th (click here for the article), I believe that the initial cause… Read More
The S&P 500 lost more than four percent, the largest single day loss for the index since August, 2011. The losses started out modestly through lunchtime, but accelerated sharply in the early afternoon. At one point, as seen in the Bloomberg screenshot below, the S&P 500 spiked higher, but then lost back everything that was earned in the final hour or so of trading. Although we don’t know exactly what… Read More
What the heck happened? Stocks were rolling along, picking up steam even, when all of a sudden, out of the blue, ‘POW!’, the index hit a wall. In reality though, while the move lower was a surprise, it wasn’t really all that surprising. It’s true that I couldn’t have told you the week before that stocks would have fallen sharply last week, but a move like this really isn’t out… Read More
