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No. of Recommendations: 1
This is typically the least interesting report within my semi-annual portfolio review, but thanks to the oil price wars and their destabilization of many economies, Brexit and the other departures it may inspire, negative interest rates, and a rush for safe havens for assets that is leading to some real estate bubbles, this is an interesting time for the Economy & Markets. The good news is that the US is doing well, relatively. The US continues to have large debts, dysfunctional governance, and growing inequalities; but, it is one of the best economies in the world. Unemployment is down. Inflation is low. Wage growth is somewhat positive (depending on how you measure it.) The COB of a small corporation mentioned that "The big money doesn't know where to go." (paraphrased) From his and other comments, major investors have fewer options for investing their money. China's slowdown and Brexit have unsettled currencies. Oil and other commodities aren't in as great a demand as they were a couple of years ago. Negative bond rates are ways to lose money, at least superficially. Without Quantitative Easing, there's less to invigorate the stock markets, but there's a lower risk of inflation, however we're witnessing signs of deflation. The real estate bubbles aren't popping, but they are meeting resistance from backlashes like dwindling supply and taxes on empty homes. it is easy to draw a depressing picture, which may be accurate; but, we've survived other upsets. Currently the economy and the markets are unstable but not upset to the extent of the Great Recession (The Second Great Depression), and much of the damage may be limited to high-net-worth individuals and institutions rather than individual home owners and small businesses. The wealth and income inequalities create differing perspectives, which may confuse representative governments; but fundamentally, there are probably solutions. There always have been - eventually.


(I've also collected links to the other discussion boards and my other stocks over on my blog http://trimbathcreative.wordpress.com/2016/06/30/semi-annual...)
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