The U.S. stock market soared yesterday, following a statement by Fed Chairman Jerome Powell that made some believe that future rate increases (once December is past) might not be as aggressive as feared. But today (according to first story below) markets reversed a little bit … as some economists thought a bit more about what was said and are not so convinced the Fed has changed its tune.
I received a few notes yesterday as I did not put out my “blog” (or whatever you call it). I was actually up in Boston at a cannabis conference … as much out of curiosity than anything … and could not write in the morning and get to the meetings in time for the first session. And, no … it had nothing to do with imbibing in anything (other than a lobster roll) the night before.
What I am most curious about … with regard to cannabis … is the sudden onset of CBD products. This, by the way, is a subset of cannabis that does not get you high … and, instead, the claim is that some of these products act on different receptors of the brain … and, in some cases, reduce inflammation. I will say, I’ve had pretty conservative friends tell me some creams they use work … and I found myself with a shoulder and upper-arm problem recently that is quite painful. I mean … painful enough that I almost cancelled my trip. So, after listening to a lot of presentations yesterday, I went out and bought some cream this morning and … maybe it’s mental … but I really think the pain has been greatly reduced.
In a bit of unrelated but sad news (stories below) life expectancy in the United States has actually declined … even in this age of advanced medicine. Why? Drug overdoses … and suicide. Shockingly, 47,000 suicides took place in the U.S. in 2017. Think about this a moment. 58,000 U.S. troops died during the entire Vietnam War. At the increase we are seeing, suicides may soon surpass this on an annual basis. And yet, according to the article below, we shrug.
On a final note for today (last one below) comes a story where an airline gate-agent might need some sensitivity training.
It seems when a child’s mother showed the gate agent the boarding pass, the agent not only showed it to others … but posted it on social media. The child’s name? Abcde (pronounced “Ab-city”).
I am sorry … the agent was wrong … but let’s face it. The parent’s cuteness at the time of naming their child will last a long time … as there will always be questions.
I think they should get used to being shocked … for this will happen until it becomes a common name.
Which will be never.
Have a great day,
Joseph G. Witthohn, CFA
Emerald Asset Management PA, LLC
610 Freedom Business Center Drive
King of Prussia, PA 19406
Direct: (610) 285-9905
… as of 11:47 AM today …
Quick Look at the News
Yesterday provided a great example of how powerful words are at times. A simple comment by the Fed and the market took off ... but did his view change that much? (CNBC)https://www.cnbc.com/2018/11/29/wall-street-economists-dont-believe-powell-changed-his-tune-much.html
... although one thing that Chairman Powell pointed out in recent days is a drop in the markets could be quite large if some risks do occur (CNBC)https://www.cnbc.com/2018/11/28/fed-warns-that-particularly-large-plunge-in-asset-prices-is-possible-if-risks-materialize.html
... and the power of the Fed ... not only with comments, but with action ... could be one of the reasons behind the President's statement the Fed could be a bigger problem than China (Time)http://time.com/5465212/trump-federal-reserve-bigger-problem-china/
Life expectancy in the United States has actually declined ... even with all the recent advances in medicine. Why? Drug overdose and suicides (CNN)https://www.cnn.com/2018/11/29/health/life-expectancy-2017-cdc/index.html
... and the number of suicides is quite high ... with the number around 47,000 in 2017. Strangely, and maybe tragically, this seems to be back page news (USAToday)https://www.usatoday.com/story/opinion/2018/11/28/suicide-kills-45-000-annually-society-shrugs-editorials-debates/1661312002/
... and how are you going to pay your taxes? Normally, states checks or credit cards (for a fee of course) ... but now one state accepts Bitcoin. Does this mean the currency argument is finally over? (Fortune)http://fortune.com/2018/11/26/bitcoin-tax-payment-ohio-state/
Meanwhile, a gate agent might need to take some sensitivity training as she made fun of a child's name. Well ... sorry ... and I hope I don't get in trouble ... but I think this child might face this a lot (ABC)https://6abc.com/travel/southwest-gate-agent-mocks-5-year-old-girls-abcde-name/4788360/