Market Commentary
3 Factors That Could Change the Inflation Course
Submitted by Flynn Zito Capital Management on July 25th, 2022
For the past year, supply-related problems contributed more to inflation than demand-related imbalances, but that may be changing soon. There are at least three factors that could change the course of inflation. First, the improvement in shipping and general supply bottlenecks could ease inflation. Second, strength in the U.S. dollar could offset some of the current inflationary pressures.
Managing Volatility
Submitted by Flynn Zito Capital Management on July 18th, 2022Constructive, Not Complacent: Lowering S&P 500 Target
Submitted by Flynn Zito Capital Management on July 5th, 2022
Stocks have been unable to make up much ground since the June 16 lows, with a bear market rally amounting to only around a 4.3% gain in the S&P 500 Index since then (as of July 1). After the more than 6% rally the week of June 24 and the increasing optimism that came with that bounce, stocks pulled back again last week—the 11th down week for the index in the past 13 weeks.
Bear Market Q&A
Submitted by Flynn Zito Capital Management on June 21st, 2022Is the 60/40 Portfolio Dead?
Submitted by Flynn Zito Capital Management on June 13th, 2022Economy Slowing But Not Shrinking
Submitted by Flynn Zito Capital Management on June 6th, 2022Looking Through The Clouds
Submitted by Flynn Zito Capital Management on May 31st, 2022Dawn Of a New Era For Bonds
Submitted by Flynn Zito Capital Management on May 23rd, 2022
Core bond investors have experienced the worst start to the year ever. However tough this year has been so far though (and it has been tough), the potential for future returns has improved meaningfully, in our view. Starting yields tend to be a good predictor of future returns and have become more attractive in a number of markets recently.
Corporate America Delivers, Market Attention Focused Elsewhere
Submitted by Flynn Zito Capital Management on May 16th, 2022
First quarter earnings season was solid by just about any measure, but based on recent market behavior it’s obvious that in general market participants paid little attention. This is a macro-driven market, so it will likely take positive macro developments, i.e., better news on the inflation front, to turn stocks around.