Too Much Good News

Last Week: We were often reminded during the recent challenging economic period that the market climbs the wall of worry.  The inverse proposition might caution that the market can slide down the chute of good cheer. Following up on our most recent commentary, the vectors on the economy, the pandemic, and government policies all pointed up the arc of optimism. Initial claims for unemployment fell sharply, while personal income and spending skyrocketed. [...]

2021-03-01T12:12:27-06:00March 1st, 2021|

Arc of Modest Optimism

Last Week: Where are we and where do we go from here? Reflecting on the current status of the economy and markets, I find myself swaying back and forth on the optimism/pessimism pendulum. Although on balance trending more towards the arc of optimism. Certain data points suggest the economy is faring much better than expected, as evidenced by a 5.3% jump in retail sales in January from December and 7.4% from [...]

2021-02-22T12:15:23-06:00February 22nd, 2021|

Rally, Rinse, Repeat

Last Week: In the Kuby’s Commentary version of “Rally, Rinse, Repeat,” we once again report that the market set new record highs, the economic data was mixed, the battle with COVID-19 raged on, and the politicians were mired in debate over the size and scope of additional stimulus. True to the script for another week, all the major stock averages advanced, with small-cap Russell 2000 index leading the charge with a [...]

2021-02-16T10:46:13-06:00February 16th, 2021|

The Bulls are Back

Last Week: The Bulls are back, and I am not talking about the Chicago Bulls. The stock market rebounded from its brief slump to post its best weekly gains since November, with the S&P 500 bouncing 4.65%. Small cap stocks continued their recent surge, as the Russell 2000 soared 7.7%. The market advanced and the VIX (CBOE Volatility Index) declined all five trading days, the latter reaching its lowest level of [...]

2021-02-08T13:09:10-06:00February 8th, 2021|

Bubble Trouble

Last Week: Trading was extremely volatile with the VIX surging over 50% to 33.09 and the S&P 500 shedding 3.31%. It seems worth noting that these spikes in volatility and sell-offs in equities occur regularly and should not be alarming. What is alarming is the continuation of the trend for stock prices to become decoupled from traditional, time-tested valuation methodologies that relate to cash flows. For the last several years high-profile [...]

2021-02-01T11:55:14-06:00February 1st, 2021|

New Administration, New Records

Last Week: The stock market reached a new record high on Thursday, fueled by optimism over the Biden administration’s priorities of coordinating a national response to the COVID-19 pandemic, increasing payments to struggling individuals and businesses, and continuing expansive monetary policies. As was the case of most of 2020, the market remained more of a beauty contest than a valuation examination with the alluring tech stocks and the most speculative segment [...]

2021-01-25T12:02:08-06:00January 25th, 2021|

Mixed Bag

Last Week: It was a mixed bag of tricks and treats for stocks, with the S&P 500 suffering its worst decline since Halloween at -1.5%, while the Russell 2000 gained 1.5%, and 1827 advancing issues outnumbered 1402 decliners.  The dollar, gold, and interest rates were all largely unchanged. I guess you could call it a “quiet” week in the market. The economic data continued to soften, with Retail Sales for December [...]

2021-01-18T15:03:54-06:00January 18th, 2021|

What a Week

Last Week: Cheers! The Wall Street party raged on as the S&P 500 rose 1.8%, to 3824.68, Nasdaq Composite gained 2.4%, and the Russell 2000 surged 5.9%. It was the best start to a year for small caps since 1987 (causing a party on North Star Street). On the other hand, partygoers found a sober and somber setting on Bourbon Street, Rush Street, and other restaurant and bar hot spots. New [...]

2021-01-11T11:39:54-06:00January 11th, 2021|

The Ball Dropped

Last Week: If a ball drops in Time’s Square but the public is not invited, then is it still New Year’s Eve? In any event, the party on Wall Street raged on, with the S&P 500 gaining 1.43% to finish at a new record high. Profit-taking hit the small caps, as the Russell 2000 declined 1.45%, but still posted its best quarter ever. The dollar finished at a two-year low, gold [...]

2021-01-04T17:59:24-06:00January 4th, 2021|

Long Strange Year

Last Week: Welcome to the last week of 2020. One might say it done come and gone, and my oh my what a long strange trip it has been indeed. The fiscal stimulus saga, which first grabbed headlines in June, took another twist as Congress finally passed a $900 billion fiscal stimulus bill on Tuesday, but before the ink could dry, President Trump refused to sign it. Spoiler alert: Skip to [...]

2021-01-04T18:03:48-06:00December 28th, 2020|
Go to Top