October 27, 2022
As the nation gears up for winter and the holiday season, markets are not leaving investors much in terms of reasons to be cheerful in 2022. Despite the seemingly constant flow of negative news, we aim to provide clarity for what is going on in stock and bond markets and the economy, what investors can expect moving forward, and how client portfolios are being positioned for long term success. July and August started off well, with the S&P 500 rallying 17% off the June lows in just about two months. The narrative behind that short-lived rally was that despite a Federal Reserve extremely focused on combating inflation, they would appropriately stop raising rates once inflation was under control and accommodate a soft landing – i.e., avoid a recession. But then came Powell’s speech at their annual Jackson Hole event.