January 2023

What’s In Store for 2023?

2023 Q1 Market Commentary…

The $1.7 Trillion bipartisan spending bill pushed through by Congress at the end of the year was a kick to the gut for investors who were hoping we’d see inflation abate more quickly. A leading research company, Hedgeye, describes it best saying, “We remain in a new, higher inflation volatility regime brought on by deglobalization, confounding energy policies, war, and a wholesale disregard for fiscal prudence at a time of record government indebtedness.”1

2022 was a slog of gradual, but continual stock and bond values erosion. With the lone exception being the energy sector, every other U.S. stock sector finished 2022 in the red.2 Unfortunately, bonds didn’t provide any shelter either, as yields spiked in the middle of the year, causing bond values to drop significantly. Let’s call it what it was – a “woodshed year”.

1st Quarter Picture of Net Returns

Future BrightWhat’s In Store for 2023?
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