Market Update Q4 2019
Economic data has squeaked into positive range with recessionary pressure seen this year being quieted. Manufacturing numbers both here and in China have turned positive, counter to soft manufacturing data out of Europe. The US economy expanded better than expected over Q3. Trade tensions between the US and China have slightly subsided due to progress towards a trade deal. We anticipate phase 1 of the trade deal being signed early 2020. The markets have reacted favorably on this news but remains cautious towards further progress until phase 1 is behind us. The markets have shown us over the year to be sensitive to trade negotiation conversations between the US and China. We believe that 2020 will start on a positive note with consumer confidence rising and the FED projecting no action this year. Some risk remains elevated. Trade risks and election outcomes still hold uncertainty for the markets as we look ahead.
We continue to remain cautiously optimistic, with market highs and the rebirth of positive economic data. Strategically rebalancing the investment portfolios allow us to remain diversified in our approach. We employ asset allocation and diversification to capitalize on market efficiencies. We urge investors to be prepared to weather all market cycles. If necessary, we are ready to re-assess your risk tolerance to confirm you are positioned correctly. We are thankful for the opportunity to partner with you.
