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…
Follow-ups and New Thoughts: 1) Emerging Markets are still exciting for the long run, but surging interest rates are not helpful for this asset class. Higher yields in the U.S. hurt EM in two ways – they raise the relative…
Emerging Market Asset Allocation It would be unthinkable to put together an investment portfolio today that did not include Apple, Amazon, Microsoft, and Alphabet. Perhaps also Facebook, Tesla, and Netflix. These companies have become very powerful through domination of at…
The Fed Not much to say about the U.S. stock market overall. I’ve been reading a lot of analogies lately, so here is mine: Imagine northern California, circa 1849. Gold has been discovered, and a lot of people are getting…