Good Financial Reads: Current Events and Trends: June 2022
2022 Market Outlook
by Eric Walters, Summit Hill Wealth Management
One my favorite things about living in Colorado is the access to backcountry hiking. I love the serenity and challenge of being immersed in wilderness, far from crowds, and self-reliant. While inspiring, this hobby comes with risks. Hikers must know how to navigate changing weather conditions, deal with potential injuries or setbacks, and keep themselves safe from germs or animals. Indeed, on a hike last fall I twisted my ankle and had to hobble out a few days early. Our market and economic outlook for 2022 could be compared to a backcountry hike in the mountains – the scenery is nice but there are risks. Investors have a favorable economic backdrop with almost all developed economies in expansion. However, bad weather threatens with inflation at a 40 year high1, the potential for higher interest rates and stock market volatility, high valuations for stocks and bonds2 and the continuing impact of COVID-19 on labor and supply chains.3 Investors can adjust their equity and bonds holdings to respond to these threats and consider alternative assets that may provide protection from down markets while offering growth.
Market Update May 13, 2022 [Video]
by Robert Stollq, Financial Design Studio
This week the market saw very volatile moves in the stock market. We cover this and more in today’s video to help you understand what’s happening so you can remain confident and stick with your financial plan. Here are questions and topics we cover:
Rising Interest Rates: An Opportunity to Act, Not Time to React
by Eric Walters, Summit Hill Wealth Management
When the COVID-19 crisis struck, authorities quickly took steps to alleviate the fallout. The U.S. Federal Reserve eased monetary policy and made ample liquidity available. Federal and state governments introduced measures to assist impacted individuals and businesses. As time wore on, uncertainty receded, markets rebounded, and the U.S. economy recovered from the initial shock.
Investment Impact of Ukraine Invasion
by Robert Stoll, Financial Design Studio
No doubt you’ve been watching the escalating situation with Russia and Ukraine.
Let’s first be clear about something: what matters most now is not “the markets” but the wonton attack on a non-aggressor. Ukraine is a nation of 45 million people sitting on the edge of Eastern Europe. It’s unbelievable that this is happening in 2022, but here we are. Keep everyone in your prayers.
Incredible Performance Divergences in First Quarter 2022
by Robert Stoll, Financial Design Studio
This year’s first quarter is one of the craziest quarters we’ve seen in terms of market performance. We noted at the beginning of the year that 2022 was shaping up to be a more volatile year because of inflation. But frankly, we didn’t expect the eruption of conflict between Russia & Ukraine, which created even more uncertainty. Now that we’re nearing the end of March, it’s a good time to do a “tale of the tape” on the incredible performance divergences we’ve seen in the First Quarter of 2022.
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