Market Outlook If you visit our local Smith Reynolds airport (KINT) in Winston Salem, you will see over 27 American and United 737 and 757 jets parked on Runway 4 – 22.  These aircraft are just a tiny portion of all commercial jets “mothballed” at airports around our country resulting from the extraordinary drop in…

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Market Outlook Our team has experienced the 1987 Black Monday crash (equities down -20% to -29% in one day); the October 13th mini-crash (U.S. equity markets down -6% to -7% in 1989); the 1997-98 Asian and Russian debt crises which resulted in the blowup of Long-Term Capital Management; and the 2008 sub-prime credit financial crisis…

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Market Outlook These are historic times in both the financial markets and our daily lives.  The jarring images from New York City and Milan – to name two hot spots impacted by the COVID-19 – and the rising death count impact not only the markets but each of us as individuals.  Trade, travel, and capital…

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Market Outlook What an amazing unexpected year of performance in 2019! Was the 2018 Tax Cut and Jobs Act a gift which kept giving in 2019? While that may be a difficult question to quantify, we are clearly seeing the powerful tailwinds of low interest rates, low inflation, accommodative monetary policy, and sustained GDP growth.…

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Market Outlook A widely used Latin phrase in Europe, “Quo Vadis?” (Where are you going?), is a very timely question as we head into the final quarter of 2019.  The long running bull market in both equities and fixed income continues to chug along with U.S. equities up +20% (S&P 500 Index) through mid-October and…

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Market Outlook In July the U.S. economic expansion officially became the longest in U.S. history as it crossed its 10-year anniversary.  As we pointed out in last quarter’s newsletter, the core economic vital signs for the U.S. suggest that the expansion has further to run with very few road bumps on the horizon to caution…

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Market Outlook The rally in global equity markets, particularly in the U.S., during the first quarter of this year has been stunning.  The move down and back up to current levels in the S&P 500, from the fourth quarter of 2018 through April 2019, represents an approximate 45% movement in equity prices over a five-month…

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Market Outlook What is it about the global economic landscape, and the U.S. equity markets, that would send the S&P 500 down – 13.52% in the fourth quarter of 2018 only to rebound by + 4.20% over the first ten trading days of the new year?  Can we glean any insights that would help us…

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Market Outlook Equity market volatility in October is almost as seasonally reliable as the colorful fall foliage, though certainly not as enjoyable.  Recent moves down in U.S. equity markets of -5% to –7% raise the important question of whether this is the beginning of a bear market or simply a market correction.  Over the past…

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Market Outlook Discerning the key factors driving the current “late cycle” economy is a bit like following cycling team race strategies in the annual Tour de France.  Everything is a bit nuanced and appears, at times, chaotic to the untrained observer.  Please indulge us as we celebrate the annual summer Grand Tour and apply a…

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