News

3Q 2024 Recap & 4Q 2024 Outlook

Key Updates on the Economy & Markets The most significant development in 3Q24 was the Federal Reserve’s decision to cut interest rates by -0.50%, the first rate cut of this cycle. It came as the Fed shifted its focus, with unemployment rising to a 33-month high and inflation moving back…

10/01/24 | Chart of the Month

Uncharted Territory: Understanding This Economic Cycle

The economy is in uncharted territory. Figure 1 graphs the Leading Economic Index (LEI), which tracks ten data points that tend to change before the overall economy does. Economists monitor the LEI because it includes data that can provide insight into future economic activity, such as unemployment claims, building permits,…

09/01/24 | Monthly Letter

Federal Reserve Set to Begin Cutting Interest Rates in September

Monthly Market Summary The S&P 500 Index returned +2.3% in August, outperforming the Russell 2000 Index’s -1.7% return. Nine of the eleven S&P 500 sectors traded higher, led by Consumer Staples, Real Estate, Health Care, and Utilities. Corporate investment-grade bonds produced a +1.9% total return as Treasury yields declined, slightly…

09/01/24 | Chart of the Month

Investing Based on Politics is a Bad Idea for Your Portfolio

As the 2024 presidential election approaches, Americans are preparing to vote in what polls forecast to be a tight race. Like many investors, you may wonder how the election outcome could affect financial markets and whether you should change your investment strategy. While elected leaders can influence economic growth by…

08/01/24 | Monthly Letter

The Stock Market Experienced a Big Rotation in July

Monthly Market Summary The S&P 500 Index returned +1.2% in July, underperforming the Russell 2000 Index’s +10.3% return. Ten of the eleven S&P 500 sectors traded higher, led by Real Estate, Utilities, and Financials. Technology was the only sector to trade lower, reversing a portion of its rise in the…

08/01/24 | Chart of the Month

Long-Term Perspective: Market Volatility is the Price of Admission for Investing

The S&P 500, a testament to the resilience of the market, gained over +15% in the first six months, marking its 16th highest first-half return since 1931. The equity market’s rise continued into early July, and the index set a new all-time closing high on July 16th. However, the stock…