Summary Stocks maintained their strong advance in 2021 by adding another 8.55%[i] last quarter. Technology, Energy, and Real Estate led the way. Economically, that makes little sense – technology, as a long-dated asset, should benefit from disinflation while energy (a…
Follow-ups and New Thoughts: 1) On July 7th the 10-year Treasury traded at less than 1.30% for a short time before closing near 1.32%. Some of the factors behind the decline are: Reduced expectations for 2022 and 2023 growth Systematic…
Follow-ups and New Thoughts: 1) Everything revolves around interest rates. On June 1st the 10-year treasury rose from 1.58% to 1.61%, and stocks were mixed overall, with growth stocks faring the worst. Last week the 10-year fell from 1.65% to…
Follow-ups and New Thoughts: 1) The decline in the 10-year bond yield from 1.74% on March 31st to as low as 1.53% on April 15th has done wonders for growth stocks. Though I don’t believe that the value stock rally…
Summary The stock market’s recovery continued in the first quarter of 2021 as all major categories of stocks made new highs. For the quarter, U.S. stocks gained 6.17% (as measured by the S&P 500). That said, the quarter was anything…