Core Bonds Are Trading at Deep Discounts To Par

Posted by Lawrence Gillum, CFA, Fixed Income Strategist Tuesday, May 10, 2022 The unrelenting move higher in U.S. Treasury yields continued last week with the yield on the 10-year Treasury up another 15 basis points (0.15%). Moreover, 10-year Treasury yields have doubled this this year with 130 basis points (1.3%) of that 150 basis point increase […]

May 11, 2022

Moderating Inflation Should Provide Boost in Consumer Confidence

Posted by Jeffrey J. Roach, PhD, Chief Economist Wednesday, May 11, 2022 Moderating Inflation Should Provide Boost in Consumer Confidence A slight moderation in inflation will likely provide some needed boost in consumer confidence but we may have to wait another month. The April inflation report was not as soft as many hoped. Inflation rose a […]

Oh Great, Here Comes Friday The 13th

Posted by Ryan Detrick, CMT, Chief Market Strategist Thursday, May 12, 2022 This is one of the worst starts to a year ever and now we have to worry about Friday the 13th. That’s right, tomorrow, May 13, will be the first Friday the 13th since August 2021. For most people, this is just another day, […]

May 12, 2022

Five Things You Should Know About the Traditional 60/40 Portfolio

Posted by lplresearch Friday, May 13, 2022 It’s been a tough year so far for a traditional “60/40” portfolio, a portfolio of 60% stocks and 40% bonds. Using the S&P 500 Index and the Bloomberg U.S. Aggregate Bond Index (“Agg”) to represent stocks and bonds, the traditional 60/40 is down 14.0% as of market close on […]

May 13, 2022

Are Bonds Acting Like Bonds Again?

Posted by Lawrence Gillum, CFA, Fixed Income Strategist Tuesday, May 17, 2022 One of the value propositions of owning core bonds is that they tend to act as a diversifier during equity market drawdowns. That is, core bonds have tended to outperform equities during equity market selloffs, which has helped cushion total portfolio volatility and helped […]

May 17, 2022

Six Things To Know About Bear Markets

Posted by Ryan Detrick, CMT, Chief Market Strategist Wednesday, May 17, 2022 It has been a historically bad year so far for stocks, with many names in bear markets. Thus far though, the S&P 500 Index has avoided a bear market (classified as a 20% decline from recent highs), as it was down 18.1% as of […]

May 18, 2022

When it Comes to Earnings, Buy American

Posted by Jeffrey Buchbinder, CFA, Equity Strategist Thursday, May 19, 2022 This is a macro driven market. So even as the S&P 500 Index nears a bear market, until we get better news on the macro front, volatility will likely continue. There is a long list of macro worries right now, including sky-high inflation, rising interest […]

May 19, 2022

Do Investors Think The Fed’s Hammer Works Like A Screwdriver?

Posted by Jeffrey J. Roach, PhD, Chief Economist Friday, May 20, 2022 “Our tools don’t really work on supply shocks.” The quote above was one of the most important statements Chair Jerome Powell made at the recent press conference after the Federal Open Market Committee (FOMC) decided to raise the federal funds rates and reduce the […]

May 20, 2022

How Do Bonds Perform During and After Equity Bear Markets?

Posted by Lawrence Gillum, CFA, Fixed Income Strategist Tuesday, May 24, 2022 The S&P 500 Index briefly touched bear market territory (down 20% from peak) intraday on Friday, May 20.  While much will continue to be said about where equities are headed, what about bonds?  How have bonds performed historically during equity bear markets (as measured […]

May 24, 2022

Difficult Outlook for Consumer Discretionary

Posted by Jeffrey Buchbinder, CFA, Equity Strategist Wednesday, May 25, 2022 While the S&P 500 Index has not yet fallen into bear market territory (a decline of more than 20% based on closing prices), there are a number of areas of the market that have already endured bear market declines. The technology-heavy Nasdaq is already there, […]

May 25, 2022