Has the Moment of Truth Finally Arrived?

After more than five years of aggressive intervention in financial markets, the Federal Reserve (Fed) seems on the cusp of ending the greatest experiment in monetary policy history. Through Quantitative Easing[1], the Fed hoped to create a wealth effect to stimulate spending and investing as the economy slowly reduced the build-up of excessive debt from […]

The Risk of Rising Interest Rates

With 2013 coming to a close, many are asking what is in store for markets in 2014. At Balentine, we believe one big area of risk in 2014 is if interest rates go up by more than they are currently anticipated to do. Earlier this month, in one of his last moves as Federal Reserve […]

Fundamentals, The Federal Reserve, and Forging Ahead to 2014

In our letter to clients after the fourth quarter of 2011, we wrote, “despite the short-term relief that the Fed’s choice to be both a referee and a player on the field may bring, the long-term consequences of their actions remain unknown.” Nearly two years later, some of those consequences are being realized, as the […]

Serial Shutdowns and Debt Ceiling Crises: The Risks of Government Debt Dysfunction

Once again, our government successfully avoided the looming debt ceiling crisis and threats of a ratings downgrade. Procrastination won out over policy, as our government leaders kicked the can down the road for another three months. This should come as no surprise, as it has happened before and will likely happen again. Despite the intense […]

US Stocks: Wall Street’s tech-led fall outweighs choice of Yellen for Fed

Balentine Chief Investment Officer Adrian Cronje spoke to Reuters about market behavior in the wake of the government shutdown and the nomination of Yellen as Bernanke’s replacement in the article, “Wall St’s tech-led fall outweighs choice of Yellen for Fed.” “‘It is really important not to become too distracted by Yellen and the Washington stalemate,’ said Cronje. […]