Blog

I often have to catch myself when things look a little grey on the macro picture. We’ve had a spate of economic releases and earnings expectations that suggest maybe things are slowing, or at least not as rosy as we would like. Retail sales were weaker than anticipated in… More >>

As we enter another busy week of economic brinkmanship with tariffs, tax proposals, and spending cuts, it might be time to frame the mathematical challenge. The Federal Government is spending about $1.9 trillion more than they take in. 1 At 6.1% of GDP, this deficit… More >>

This weekend, President Trump announced broad-reaching tariffs against Canada, Mexico, and China. The measures include a 25% tariff on almost all goods from Canada (excluding energy resources) and Mexico, along with an additional 10% tariff on goods from China. Canada has… More >>

Despite this morning’s market turbulence sparked by Chinese startup DeepSeek’s low-cost AI model challenging tech valuations, the latest wave of Q4 earnings reports has injected fresh optimism into market sentiment, particularly following upbeat results from major… More >>

Standing at the threshold of one of the most anticipated periods on the financial calendar – corporate earnings season – we find ourselves getting back to what matters most for equity markets. This time of the year, companies from various sectors open their books,… More >>

Bond yields have been rising at an alarming rate recently, especially considering the Federal Reserve has been cutting short-term interest rates. 1 The Fed Funds rate is 100 bps lower, yet the 10-year Treasury yield is just over 100 bps higher. That’s certainly not… More >>

Wall Street’s annual tradition of “precise inaccuracy” is upon us again, offering a perfect moment to reflect on its forecasting ability. At the end of 2023, they projected a mere 1.22% gain for the S&P 500 in 2024, underestimating actual performance by over 1,800%,… More >>

“To me the most beautiful word in the dictionary is tariff…” – Donald Trump, October, 2024 1 As we enter an era of America First trade and economic policies, it raises the question: can tariffs be beautiful? Note, this is an explanation and not a rationalization. Here is… More >>

It’s been a remarkable year for equity investors when you consider the S&P 500 has hit an all-time high 56 times so far in 2024. 1 It’s not the best “all-time high” year but it’s near the best in the last 100 years. 2 Around this time of year, I always look back… More >>

This week should bring another interest rate cut by the Federal Reserve, as the futures markets are indicating. 1 Yet headline inflation has ticked up a bit after several months of moderation. 2 The recent CPI data suggests inflation is stalling above the Fed’s 2%… More >>