We expected and prepared for a period of market turbulence at the end of the third quarter of last year and took decisive steps to lower our exposure to global stock markets accordingly. We do not yet see reason to change course further.
Balentine’s Chief Investment Officer Adrian Cronje was quoted in the Wall Street Journal article “Stocks End the Week on a Positive Note”. As quarterly data from the first three months of 2015 become available, many investors are watching to see the US stock market’s reaction.
Quarterly earning season is upon us, and underneath the guise of downward-revised forecasts and the effects of write-downs, the story tells of U.S. corporate profits falling, not rising. These results caused The Economist to ask the question, “Are corporate profits at last running out of steam?” in its recent Buttonwood article, “Sound the Retreat.” In […]
As we look to 2014, many are reflecting on a very strong year for domestic stock markets. However, a key component that is missed by many investors and the media alike is the failure to appreciate how much (or rather how little) of that rally has been justified by an improvement in underlying fundamentals. As […]
Last month, the Russell 2000 index of small cap stocks fell 0.3%, while the S&P 500 presented a positive 2.3%, making 2011 the 17th year since 1925 that small cap stocks fell behind the large cap stocks in January. Will the old adage go that if large cap stocks beat small cap stocks in January, the trend will continue for the year?