Market Commentary

Market-insights

Back in July 2008, then-Treasury Secretary Hank Paulson said he wanted a “bazooka” to deal with financial threats to Fannie Mae and Freddie Mac. Paulson wanted Congress to give him an unlimited credit line for these enterprises. This time around, it’s the Federal Reserve firing a bazooka at the Coronavirus, with more possibly to come… […]

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Market-insights

No one knows with any real certainty how much, or for how long, the Coronavirus will impact the US economy… Click here to read more…

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Market-insights

Fed Should Be Decisive By the time you read this, the Fed may already have cut rates. That is the situation we find ourselves in given the recent correction in equities, which were at a record high only eight trading days ago but were down 12.8% from that peak as of the market close on […]

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Market-insights

Time to Fear the Coronavirus? Monday, fear over the Coronavirus finally gripped investors, as both the Dow Jones Industrial Average and the S&P 500 index fell over 3% – the largest daily declines in two years.  These drops wiped out all the gains for the year. Click here to read more… Markets Since 1980: Click […]

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Market-insights

Yes, There Was a Housing Bubble, But Not Now One of the worst bipartisan policy decisions in the past generation was the aggressive government push in the 1990s and 2000s to promote home ownership, beyond what the free market could handle. Policymakers encouraged Fannie Mae and Freddie Mac to gobble up lots of subprime debt, […]

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Market-insights

Lessons from Japan?

Lessons from Japan? Thirty years ago, many in the US were in fear that a rising power in Asia was on the verge of eclipsing the US. Now it’s China, back then it was Japan… Click here to read more…

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Market-insights

Jobs, Coronavirus, and the Budget In January, US payrolls expanded by 225,000, not only beating the consensus forecast, but also forecasts from every single economics group. Since January 2019 (12 months ago), both payrolls and civilian employment – an alternative measure of jobs that includes small-business start-ups – are up 2.1 million. The labor force […]

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Market-insights

No Need for Fed Rescue

No Need for Fed Rescue Fears about the coronavirus knocked down equities last week, while a flight to safety brought the yield on the 10-year Treasury down to 1.51% at the Friday close versus 1.69% the week prior and 1.92% at the end of 2019… Click here to read more…

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Market-insights

Look for Steadiness from the Fed The Federal Reserve is set to make its first policy statement of the year on Wednesday, so this is as good a time as any to reiterate our view that the Fed is likely to keep short term interest rates steady through 2020 and, while pressures will build, the […]

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