Perspectives

Markets were mixed Last week, with small and mid-cap stocks gaining while large cap stocks were mostly unchanged. Tax reform once again dominated headlines: the House passed its version of the legislation, while the Senate bill advanced out of the Finance Committee on a party line vote; the Senate may schedule a vote in two weeks. Retailers outperformed; Wal-Mart’s digital and e-commerce initiatives helped produce a +2.7% increase in same-store-sales, the company’s best quarterly performance… View More

Click here to view a side-by-side comparison of the House and the Senate versions of a new tax plan. We will continue to provide updates as more information becomes available.    … View More

Stocks lagged last week as competing visions of tax reform weighed on investor sentiment; small cap stocks and sectors which respond to economic growth, such as Materials and Industrials, underperformed. On Thursday, the Senate revealed its proposal for tax legislation which differs from the House version that was released last week. Republican lawmakers now face the challenge of crafting a bill that can pass both chambers with a simple majority vote. The market’s negative reaction this week m… View More

With the stock market at its current level, a recurring question many investors have is when will we reach the top, or are we there already? In answer to this question, we believe the market will continue to climb. Consumer confidence continues to be strong and the data can be validated across multiple data sources, like the level of voluntary separation from employment (which is at levels not seen since the early 2000's), the savings rate (which has dropped, typically indicating a higher level … View More

Markets were mixed Last week; strong economic data and the release of the House’s initial tax reform plan were unable to spark a rally in stocks. The U.S. economy added 261,000 jobs in October, the largest monthly gain since July 2016, as employers recovered from Hurricanes Harvey and Irma. The unemployment rate fell to 4.1%, its lowest level since 2000; wage growth was essentially flat month-over-month, but may pick up over the next few months. Consumer confidence rose to its highest level in… View More

House Republicans are pushing for a major tax reform. Below, we have included links to a number of the documents the House of Representatives has made available to explain their tax plan. We also expect the government will provide a calculator that will be available to the public to compare individual tax obligations between the current tax system and the proposed tax plan. We will continue to provide updates as more information becomes available. Please call or email us with any questions. … View More

The after effects of hurricanes Harvey, Irma, and Maria have done little to sway the opinion of Federal Reserve members that the economy is ready for further rate hikes. While leaving rates unchanged at today's meeting - as expected - they set the table for December. The Fed essentially waved off the hurricane-related September payrolls declines, and more notably strengthened rhetoric about economic growth, which they now characterize as "rising at a solid rate" compared to September's "rising m… View More

Stocks were up-and-down last week as a mixed batch of earnings reports stalled the market’s momentum. Technology led all sectors with favorable updates from Amazon and Microsoft, and strong pre-orders for Apple’s iPhone X. After their recent, and brief, pause, the FAANG group of large cap technology stocks again led the broader market to new highs. Healthcare lagged all sectors on underwhelming earnings results, particularly among biotech companies, and a shift in industry dynamics. Amazon h… View More

Stocks were higher last week as strong corporate earnings supported the markets’ continued momentum. The Dow Jones Industrial Average, aided in large part by a 10% rise in shares of International Business Machines (IBM), surpassed 23,000 for the first time; the technology giant’s second quarter results exceeded analysts’ estimates. Signs of progress on tax reform also provided some optimism; the Senate’s adoption of a budget resolution could enable tax legislation to withstand a filibust… View More

Markets were relatively flat last week as investors gear up for third quarter earnings season (more on this below). Economic data were broadly positive and continue to point to healthy economic conditions. September retail sales grew at their fastest pace since March 2015, due in part to hurricane-related replacement activity for autos and automotive supplies. Of note in the report, building materials sales were strong, gaining 10.7% year-over-year, while online retailers (+9.2%) continued to ta… View More