Donald J. Trump will take the oath of office Friday, January 20. This fact is disorienting for many but viewed as promising by others. Trump’s election is part of the larger picture, that we live in a new age of uncertainty, suspended between an old order and a new one being formed. "Business as usual"
As Ben Graham said, ‘In the short-run the market is a voting machine—reflecting a voter-registration test that requires only money, not intelligence or emotional stability—but in the long-run the market is a weighting machine.’ Warren Buffet - Letter to Berkshire Hathaway Shareholders (1992) All the major U.S. Indexes surged to new highs last week. It
Last week the US stock market had its best week since 2014, after an election result that almost nobody saw coming. The Dow Jones Industrials rose about 5% for the week. At the week’s beginning, The Dow went up in anticipation of a Clinton Presidency, then dropped 700 points in Dow futures in a short
This week I attended an in-depth panel discussion on the state of the Nashville real estate market. On the panel were leading developers, brokers and lenders who discussed trends they are seeing. This week we report the major themes. Strong job growth is driving the market across property types. One presenter noted the Nashville area
When I vacation to my happy place—The Grand Tetons and Yellowstone National Park—the market usually misbehaves. Last year, the S&P 500 fell more than 10% in just four trading days, only to finish up 0.9% for the week. Volatility is remarkably low at the present time, and this is the season volatility often picks up.
Greg Valliere, a leading consultant on how federal policies affect markets and personal finances, shared his insights with a small group of investment advisers last week in Nashville. He called this election the nastiest election of our lifetime and provided forecasts of election scenarios. He did not mince words in his critique of either presidential
Britain’s vote to leave the European Union (EU) caught the world by surprise. Since the vote, stock market volatility has increased dramatically—a predictable result because stock markets don’t like uncertainty. Similarly, interest rates have declined—just as dramatically—because investors seek the safe haven of U.S. Treasury bonds during uncertain times. With lower rates at home, spillover
In a referendum held June 23rd, British voters expressed their will to exit the European Union. The European Union (or EU) is a confederation of member countries that created a common economic area with laws allowing trade and people to move freely. The initial market reaction to the referendum was dramatic across the globe. This
Interest rates are unlikely to rise very much in the next few years. That is the message coming through from the Fed’s June 15 meeting and from Chairwomen Janet Yellen’s testimony to Congress this week. This is a notable change in tone over the last few weeks. The Fed capitulated to the realization its forecasts
Few people understand the impact of inflation in their lives because it happens slowly. When inflation is high, budgets get stretched. When wage growth is flat inflation sinks hopes. Today, economic data suggests prices are rising very, very slowly. Yet, surveys suggest that the average American’s daily experience with inflation may be quite different than