It has been almost seven years since the world’s economy and markets reached their global financial crisis lows. Since then, domestic stock and bond markets have recovered strongly but the economic cycle has been slow to progress, and the pace of growth has been disappointing relative to previous economic recoveries. In this lower-for-longer growth environment, … Continued
“Everyone has a plan until they get punched in the face.” – Mike Tyson If the markets were a boxing match, then last quarter’s pummeling would have been met with calls for the referee to intervene. Volatile commodity prices, a potential Greek default, uncertainty around tighter U.S. monetary policy, pharmaceutical and biotechnology pricing worries, geopolitical … Continued
“The pessimist complains about the wind; the optimist expects it to change; the realist adjusts the sails.” – William A. Ward Before setting out on a long journey at sea, you prepare your boat for the severe weather conditions you are likely to encounter. In the course of planning your trip, you will likely also … Continued
Over the centuries, the Chinese economy has been through many transitions. Before the isolationist policies of the 17th century, the country actually enjoyed the position of being the world’s second largest economy. However, the collective decision to not participate in the industrial revolution proved to be detrimental and by the time Mao Zedong died in … Continued
The past few weeks have marked an extremely volatile time for energy prices. On August 21st, oil dipped below $40/barrel for the first time since February 2009 as a general risk-off mentality led to selling in addition to the ongoing concerns about oversupply and slowing demand, particularly out of key consumer China. Just a few … Continued
Eight centuries ago, in a muddy field near the royal fortress of Windsor Castle, the unpopular King John was forced to strike one of history’s most important bargains. A group of rebellious barons, resentful of his heavy-handed rule and even heavier taxation policy, coerced his royal seal to one of the most important documents in … Continued
“What good is the warmth of summer, without the cold of winter to give it sweetness?” – John Steinbeck Living in the Bay Area we can easily forget just how harsh winter can be. However, when economic trends began to suggest the U.S. economy was destined for another round of negative first quarter GDP, it … Continued
“Life imitates Art far more than Art imitates Life.” – Oscar Wilde In the run-up to this year’s Super Bowl, the New England Patriots found themselves playing defense against allegations tied to whether or not someone had intentionally deflated their footballs in order to improve their ability to grip them. Just as the Patriots spent … Continued
Oil finished 2014 down a massive 46% – making it the worst performing asset class of 2014. In The Wall Street Journal’s January 2014 economic forecasting survey, economists predicted oil would finish the year at approximately $95 a barrel, up from about $92 at the beginning of the year. But – as we saw very … Continued
“Damn the torpedoes, full speed ahead!” – Admiral Farragut (paraphrased), August 5th, 1864 In the final year of the American Civil War, as part of a larger effort to blockade Confederate ports, Admiral Farragut entered the heavily mined port of Mobile, Alabama. Tethered, underwater mines were known as ‘”torpedoes” in those days. As his fleet … Continued