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Weekly Economic Update 03-31-2017

Let’s Check the Scorecard Third longest expansionary cycle in history. Weakest GDP growth of any expansionary cycle in history. The second longest Bull market for stocks in history. Record high stocks prices. Third highest stock market based on cyclically adjusted Price-to-Earnings ratio. Third highest stock market based on Market Cap-to-GDP ratio, or more affectionally known … Read more

Weekly Economic Update 03-24-2017

The Streak Has Ended The broad equity markets have ended their 100+ consecutive run of days without a 1% or greater move down on Tuesday. The analysts will tell you not to worry, because this is a very positive sign for stocks. In fact, investors took that move down and the move down due to … Read more

Weekly Economic Update 03-17-2017

3 Hikes and You’re Out! As the stock market celebrates its second longest run in history the Fed decided to raise rates for the third time this cycle. History tells us that when the Fed raises rates for the third time towards the end of a business cycle, the outlook for stock prices is bad. … Read more

Weekly Economic Update 03-10-2017

The February jobs reports came in strong and as the stock market celebrates its eighth year of this Bull market, the post-election rally is showing signs of running out of steam. This recent jump in asset prices was predicated on fiscal stimulus, reduced taxes and corporate earnings growth. Fiscal stimulus is useful when unemployment rates … Read more

Weekly Economic Update 03-03-2017

With stock markets moving straight up you might think that GDP growth was north of 6% per year, inflation was running over 4% a year and that the economy was burning red hot like it was in the late 1990’s. Yet today we have the third longest expansionary cycle in history, GDP growth at 1.6% … Read more