Market Rally Stalls, Investor Sentiment Sags as Trump Era Begins

At noon (Eastern time) on January 20, 2017, Donald John Trump took the oath of office, becoming the 45th president of the United States. Since the close of Election Day, November 8, 2016, the S&P 500 index gained 5.8% through the close on Thursday, January 19. Per Schaeffer’s Investment Research, average post-election return for the…

 

January Changes to SSR Portfolio

This week we released the January changes to the SSR tracking portfolio. For more information on this month’s deletions and additions, read the January SSR Monthly Report available online. December Market Recap In a year where the U.K. voted to leave the European Union and a political unknown ascended to the highest elected office in the…

 

Fed Raises Short-Term Rates for First Time in a Year as Dow Flirts with 20,000

After going a year since its last rate increase, the Federal Reserve surprised almost no one by announcing this week that it was raising the benchmark federal funds rate by a quarter percentage point—to between 0.50% and 0.75%—and that officials now expect to raise short-term rates more often in 2017. That it has been a…

 

Market Rally Gains Momentum, Reaching Rarified Air

Friday marked the one-month anniversary since Hillary Clinton conceded the presidential election to Donald Trump. Since the close on November 8, Election Day, the majority of U.S. stocks has seen a strong gain. This week, though, the “Trump Bump” seemingly found a higher gear. On Wednesday, several of the major U.S. indexes posted their biggest…

 

Stock Superstars Report: November Recap & December Portfolio Changes

This week we performed our monthly Stock Superstars Report (SSR) portfolio review and made some changes. For more information on this month’s deletions and additions, read the December SSR Monthly Report available online. November Market Recap In the aftermath of the U.S. presidential election, U.S. stocks, for the most part, have rallied strongly. This is quite…

 

Post-Election Rotation: Trump Bump and Dump

In the weeks leading up to the November 8 presidential election, we noted that, in the event of a surprise result, investors should expect a quick reallocation of resources into sectors and industries expected to benefit from differing policy positions. Well, many would say that the November 8 outcome was a surprise, with Donald Trump…

 

Stock Superstars Report: Baseball, Politics and Investing

Where I grew up in mid-Michigan, there was a local Chevy commercial that had a jingle that went “Baseball, hot dogs, Applegate and Chevrolet.” This week the news cycle, at least here in Chicago, has been focused on baseball and the “lovable losers”—the Chicago Cubs—breaking 108 years of curses to win the World Series. For…

 

Volatility Is Higher But Not Historically High

The market’s downside volatility was the focus of the financial news media this week. Though it’s understandable that reasons for the decline were sought (weakness in China and continued uncertainty over the timing of the first interest rate increases by the Federal Reserve were cited), the commentaries miss the bigger trend. Read more »