Interest Rate Commentary – October 2021

Federal Reserve Comments & Projections In response to economic fears from COVID-19, the U.S. Federal Reserve initiated a series of Fed Funds rate cuts (including an emergency rate cut) to bring the Fed Funds target rate to 0.00% – 0.25% as of March 15, 2020.  After a short period of shrinking, the Federal Reserve’s balance…

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CORNERSTONE 3RD QUARTER 2021 COMMENTARY

If you want to keep on learning you must keep on risking failure – all your life John W. Gardner We do not believe if we do not live and work according to our belief Heidi Willis The soul is dyed the color of its thoughts. Think kon those things that are in line with…

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2Q 2021 Cornerstone Commentary

Market risk tends to be poorly rewarded when market valuations are rich and interest rates are rising.” -John P. Hussman, Ph. D. Relative to Q1 of 2021, Q2 was decidedly anticlimactic!  However, the positive news for investors was that the market continued to rally and did so in a decidedly undramatic fashion. Volatility declined to…

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1Q 2021 Cornerstone Commentary

There have been three great inventions since the beginning of time: fire, the wheel, and central banking. -Will Rogers The first quarter of 2021 witnessed a dramatic extension of the 2020 global equity rally.  Led by smaller capitalization equities, virtually every sector of public equity markets moved higher during the quarter.  Drama at the capitol,…

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4Q 2020 Cornerstone Commentary

We should never despair, our situation before has been unpromising and has changed for the better, so I trust, it will again. If new difficulties arise, we must only put forth new exertions and proportion our efforts to the exigency of the times. -George Washington Regardless of your political affiliation, the fourth quarter of 2020…

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3Q 2020 Cornerstone Commentary

The rally continues! The market continued to rally throughout the third quarter of 2020. Despite a pullback in mid-September, the broader equity market rallied more than 8% during the quarter.

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2Q 2020 Cornerstone Commentary

“The death of contrarians has been greatly exaggerated. The reason is that the crowd is the market for most of any cycle. You cannot be contrarian all the time, otherwise you end up simply fighting the tape the whole way up (or down), therefore being wildly wrong. -Barry Ritholtz The second quarter of 2020 started…

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1Q 2020 Cornerstone Commentary

It was the best of times, it was the worst of times, it was the age of wisdom, it was the age of foolishness, it was the epoch of belief, it was the epoch of incredulity, it was the season of Light, it was the season of Darkness, it was the spring of hope, it…

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4Q 2019 Cornerstone Commentary

Those persons are happiest in this restless and mutable world who are in love with change, who delight in what is new simply because it differs from what is old; who rejoice in every innovation, and find a strange alert pleasure in all that is, and that has never been done before. – Agnes Repplier…

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2Q 2019 Cornerstone Commentary

It wasn’t raining when Noah built the Ark. – Warren Buffet The second quarter of 2019 proved to be quite interesting for investors.  The first quarter rally continued into April only to be followed by a scary drop in May precipitated by aggressive trade rhetoric and recessionary fears.  U.S. Fed Chair Jerome Powell came quickly…

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