As the Covid pandemic unfolded in early 2020, interest rates on one-year government debt plunged from 1.5 % to near zero in a matter of weeks. From March of 2020 to near the end of 2021, the one-year rate hovered between 0.05% and 0.12%. Rates that low are almost irrelevant. As the Federal Reserve launched […]
Read MoreThoughts on Upcoming Election and the Markets
A lot has been written about the impacts national elections have (or do not have) on financial markets. Studies have been done over the years to try and determine if changes in political party control of Congress and the White House (WH) lead to subsequent outperformance or underperformance of financial markets. Time has also been […]
Read MoreThe Silver Lining in Rising Interest Rates
For several years now, investors have been living in a world of historically low interest rates. For those in retirement or near retirement, that has not been the best world in terms of conservative income generation with which to live on. It also hasn’t been great for those who are contributing to regular savings accounts […]
Read MoreDiscount Prices – Consumer Products vs the Stock Market
Consumer buying patterns have been studied by economists and sociologists forever. How and why consumers respond to product marketing programs basically comes down to how our brains are emotionally wired. That said, consumer products and services companies of all types have figured out that advertising “discounts” is a tried-and-true method to create a positive emotion […]
Read MoreCommodities Sell-Off / Supply Chain Improving
The supercharged pricing surges across much of our economy and the global economy are showing signs of abating. The news flow on reversing pricing trends is picking up so I thought it was time to take another look at where things are regarding price trends in important commodities and the supply chain situation. Should these […]
Read MoreI Bonds
With surging inflation, there has been a renewed interest in lessor known United States Savings Inflation Bonds, more commonly referred to as I Bonds.
Read MoreInvestor Mindset
The correction in the markets has been hard to bear. In the face of this decline in the markets, our commitment to long term investment strategies has not changed. We are in this for the long haul and our job is to help our clients manage their way through such times as these. “Loss aversion […]
Read MoreESG Commentary
Environmental, social, and governance factors (ESG) have become popular factors to incorporate into investment analysis and stock selection. ESG factor investing has been incorporated in stock selection long before the recent surge in interest in the strategy. How ESG factors are defined and how they are incorporated into stock selection is far less than uniform. […]
Read MoreGrowth vs Value – Coming into Focus Again
Since the start of the year, the battle between growth and value is in full force. It actually began last quarter and picked up steam since December. I have written in the past how important bond yields are when it comes to valuing a company. The sharp rise in the widely followed 10 year US […]
Read More2022 – The Year of the Electric Vehicle Tsunami
As 2022 comes upon us, so do the countless projections for Battery Electric Vehicles (BEV) sales. Every major car manufacturer has put out statements of lofty goals around production output, battery range and prices, among others. Most importantly, many have set goals regarding ceasing the production of internal combustion engines (ICE). Recent research by Wood […]
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