Last Week: Resilient? But wait, you might be thinking, didn’t the market decline last week? Indeed, the S&P 500 did lose 0.89% and the DJIA 2.72%, while the Russell 2000 managed to post a fractional gain. Given the escalation in trade tensions, I think those results show tremendous resiliency. By way of comparison, the Shanghai Composite Index fell 4.4% for the week, and is now down 13% this year. Rather than [...]
Last Week: Once upon a time, a long time ago, in February and March, the market declined, and volatility spiked over concerns of a trade war and tightening monetary policy. Last week Investors (traders?) displayed tremendous resilience to those concerns. On the heels of the previous weekend’s disastrous G-7 summit, which threatened the NAFTA talks, on Friday the U.S. imposed tariffs on $50 billion of goods from China, which immediately said [...]
Last Week: Once again, the market proved resilient, with the S&P 500 gaining 1.6%, despite numerous troubling global headlines. Most of the unsettling news relates to trade issues, which clearly could become significant impediments to the global economy if the proposed tariffs become reality. The market seems to be viewing the slew of trade policy tweets as negotiating ploys or bluffs, rather than actual policy statements. I hope that proves to [...]
Last Week: Definition of Resilient from Merriam-Webster: a: capable of withstanding shock without permanent deformation or rupture. b: tending to recover from or adjust easily to misfortune or change. I’m not so sure about “misfortune”, but there has certainly been and endless flow of “shock” and “change” in the world, and like the Energizer bunny, the S&P 500 keeps on ticking. Or was it Timex, that takes a licking and keeps [...]