Krystal Daibes Higgins, CFA, was on KOIN AM Extra's Wallet Wednesday to discuss the unemployment rate, high cost of living and the possibility of another rate hike.
Daibes Higgins on KOIN Wallet Wednesday
Labor Market in Limbo
It is no surprise that all eyes are focused on the economic headlines – investors and consumers are searching for tangible pieces of information to guide decision-making and create a logical roadmap for 2023. You don’t need to look far to see the latest news plastered across the media: corporate layoffs.
Bonds Acting Like Bonds
Today the employment data for the month of June was released and was stronger than analysts’ expectations. Nonfarm payrolls increased 372,000 in the month of June, well above the estimate of 265,000. In addition, average hourly earnings growth moderated on a month-to-month basis, which should help the inflationary pressures in the economy.
U.S. Economy Continues to Power Through
While news coverage is understandably focused on the devastation in Ukraine, we remain keenly focused on the fundamentals of the U.S. economy and the companies we follow. We realize that during times of stress markets become disconnected from the underlying fundamentals of the economy, but just like water always finds its equilibrium, markets similarly return to the fundamentals.
Raising Rates for the Right Reason
During our collective years in investment management, we’ve come to use several phrases over and over. Our long-time clients may begin to roll their eyes as we repeat an oft-used phrase, “The Fed is raising rates for the right reason.”
Fourth Quarter 2021 Investment Strategy Video
Just Keep Swimming ... Just Keep Swimming
In the Pixar classic Finding Nemo, the characters Dory and Marlin were hovering over a trench, the black unknown below, and they had just lost their last hope of finding Marlin’s son, Nemo.
Signs!
“Signs, Signs everywhere there are [help wanted] Signs,” is how the song goes. It’s the first Friday of the month, and that means the monthly payroll report is released by the Bureau of Labor & Statistics.
An Inflation Fixation
Both the financial and popular press have been inundated with headlines on inflation. Last week’s higher than expected Consumer Price Index (CPI) report added fuel to this fire. Given the elevated inflation measures reported the last two months, two questions rise to the fore: 1) Is the inflation we are all seeing temporary or long-lasting, and 2) How and over what timeframe will the Federal Reserve address it.
Holiday Spirit
As we move through the holiday season and collectively reflect on what has been an incredibly challenging year, we stay firm in our belief that the holidays are all about giving thanks, being grateful, staying humble and wishing for the best.
COVID Economy
We have been closely monitoring the recent uptick in COVID-19 infections across the country and in Europe. The path of the virus is the most important factor in the economic recovery and the thing that we know the least about.
Q4 2020 Mid-Quarter Investment Strategy Update
On October 20, our firm hosted a mid-quarter Investment Strategy Update webinar presented by Chief Investment Officer, George Hosfield, CFA, and Head of Fixed Income, Brad Houle, CFA.
Jobs, Jobs, Jobs
This morning, the Bureau of Labor Statistics reported a strong jobs report for the month of August, with nonfarm payroll employment rose by nearly 1.4 million.
Mid-Quarter Investment Strategy Update Webinar
Video recording of our mid-quarter Investment Strategy Update webinar which was presented on August 27, 2020.
Resolving the Dichotomy
Many investors are puzzled by the apparent disconnect between the U.S. stock market and an economy that remains in recession with an unemployment rate last seen in the Great Depression.
Down in a Hole
Thursday’s unemployment claims continued to paint a dismal picture in the jobs market, where roughly 2.1 million people filed for initial claims last week, which brings the total over the last two months to roughly 40 million.
Chart-side Chats
Last week marked the semi-sesquicentennial anniversary of Franklin Delano Roosevelt’s death which sparked many to compare our current financial markets to the Great Depression. As the stock market continues its rapid ascent for a second week and pundits start talking about the shape of the recovery, there is one lesson some overlook from the Depression era — the value of FDR’s fireside chats. During these chats, the president used simple, direct language to convey very difficult news; a format we are keeping in mind.
From Bad to Better
As the world’s battle against coronavirus rages on, we offer our best regards to those on the front lines battling the pandemic and express our sympathies to those whose health and welfare are being directly impacted.
Back to the Basics
With stocks, only two things matter: earnings and what investors are willing to pay for a dollar of earnings.
Investment Outlook Video Q1 2020: Age Is Just a Number
George Hosfield, CFA, chief investment officer for Ferguson Wellman and West Bearing Investments, shares the firm’s outlook for 2020.