“What’s Best” is All About You
Investor Insights, May 4th, 2018
Five Things You Should Know
- Equity Markets – rebounded nicely to end the week with the S&P only finishing down 0.2% and EAFE down -0.06% after a tough start to the week.
- Fixed Income Markets – were also slightly down for the week with high-quality bonds (AGG) -0.11% and high-yield bonds (JNK) -0.45%.
- Fed Interest Rate Decision – the Fed announced that they would leave their interest rate unchanged and seemed to allude to their openness to allowing inflation to reach, or even exceed, its 2 percent target without concern. While in general that would be encouraging news to a market that “fears” the Fed raising rates too quickly, inflationary worries persist and are acting in part as a lid on markets. The Fed also cited trade concerns, and with U.S. trade reps landing in China this week the market will keep a close eye on the rhetoric coming out of the talks.
- Earnings Season – more than halfway through earnings season and top line sales are up almost 10% year-over-year, with earnings growth up almost 24%. If this continues it will be the second consecutive quarter where every sector has reported year-over-growth on both the top and bottom lines. After years of relatively disappointing revenue growth, this quarter’s numbers would be the best since late 2011.
- Key Insight – Our job to you our clients is to map our solutions to YOUR story. This week’s video looks at how “what’s best” is really about you and not some magical product, process or singular idea. (Stay tuned to the end for a laugh at Tim’s expense).