The first quarter was incredibly ugly for bond investors, particularly those with exposure to longer-maturity ones. Bond investors were not happy as Treasuries generated the worst quarterly return since 1980.
Economic growth is projected to increase quite substantially now that the $1.9 trillion stimulus has been passed. The following chart shows that economists are forecasting the strongest growth since the Reagan years.
Not surprisingly, a lot of this projected growth is predicated on the spending of built-up savings from multiple stimulus packages that have passed and been disbursed.
When it comes to tracking Covid trends there are a few indicators to which I pay close attention. The first is hospitalizations as this is the variable that Governors are most closely watching (as well as ICU capacity) when it comes to implementing restrictions on businesses and personal behavior.
Before action is taken it first must manifest as a thought, however fleeting. And, if actions are part of a more strategic thought process seeking to produce longer-term results, then thoughts are almost always translated into speech and/or writing in order to communicate the thinking and desired outcomes to others who may be necessary or valuable to help bring the desired outcome(s) about.
This week will be another one focused on charts and graphs that caught my attention. The emphasis will be on the story of the Fed remaining very dovish in spite of what appears to be some pockets of economic strength (e.g. housing, commodities, semiconductors),
The following chart shows that people are the most comfortable returning to work within a month or less as compared to other activities. The percentage is 65% so there is still a substantial minority who are still concerned about returning to their previous work environment.
CWS Capital Partners LLC is an SEC registered investment advisor. The statements and information on this page do not constitute an offer to sell any securities or represent an express or implied opinion or endorsement of any specific investment opportunity, offering or issuer. Any discussion of performance or returns is not indicative of future results. Any market information is for illustrative and informational purposes only.
The views, statements, opinions and information expressed on this website/blog are intended to be educational and informational only; and may not necessarily be the views of CWS Capital Partners, LLC and its affiliated entities. They are also not intended to be and should not be construed as either an offer or recommendation of any security, portfolio of securities or investment strategies. Any market information (e.g. articles, news, analyses, opinions, etc.) should not be regarded as a description of advisory services offered by CWS Capital Partners, LLC and its affiliated entities. Any discussion of performance or returns is not indicative of future results.