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Good morning.

So far the start of the trading day has been a bit unsettling … as most equities were “green on the screen” shortly after the open only to have turned south.  Things have certainly changed over the last few months as … during the bull market … stocks seemed to advance even in the face of negative news. Now? Any hint of a cloud has investors rushing to grab galoshes and an umbrella.

Especially troubling of late were reports over to what degree food costs have risen over the past year.

I will admit that I do most of the food buying in my household … and the big jump in prices certainly is quite noticeable. But it is not only in supermarkets where this has taken place.  It used to be where for $10 or so you could sit down at lunch and have a burger … plus fries … and a drink.  I’ve seen quite a few $15 burgers recently … and this is without any of the other accompaniments.

Sorry to be such a “Debbie Downer” today … assuming I am still allowed to say that … for there is actually a small degree of hope ahead.

Forecasts of many groups … including Oxford Economics, ING and Deutsche Bank … are calling for the rise in inflation to not only slow, but drop rather sharply in the year ahead.  There is, however, the terrifying question of:  “what if it doesn’t?”

One bit of interesting news … that I didn’t think about before … is how some are feeling a much greater effect of rising prices than others.  No, I don’t mean because of wealth disparity … but location.  The Bureau of Labor Statistics (“BLS”) put out a chart showing the year-over-year CPI increase in New York is 6.6% … while in Phoenix, for example … it is around 13%!  So stories over how inflation is affecting consumers tend to paint everyone with the same brush (as does federal action).

Okay, I’ve probably bored you enough for today.

On a final note, I am glad to note airfares seem to be coming down … which is great as I was actually thinking of going back to Europe next year if the dollar continues its strength.

One thing I forgot to mention about my last trip … was coming across an impressive statue of Admiral Nelson in Trafalgar Square in the UK.

Do you know he was only 5’4” … but his statue is 18 feet, 1 inch tall?

That’s Horatio of nearly 3.4 to 1.

Have a great day,

Joseph G. Witthohn, CFA
Vice President
Emerald Asset Management PA, LLC
610 Freedom Business Center Drive
King of Prussia, PA 19406
Direct: (610) 285-9905
cell: (856) 625-7915

A Look At The News September 15, 2022

As of 11:48 AM today

As the Fed Chairman pointed out “pain” ahead … due to rate increases … some wonder if jobs need to be lost in order to bring inflation down (Fortune)

… and if you do find yourself out of work … and you are not young … what do you do?  A new career after the age of 50 is not impossible to start (Esquire)

I know, I know … you are tired of hearing about inflation … but it can’t simply be ignored as every increase in prices digs a hole in your pocket (NBCNews)

… and the government is trying to help (knowing this is always debatable) … as social security increases are certainly in the cards.  It won’t offset inflation, but it helps a little (USAToday)

Some people are taking climate change quite seriously … and making great personal sacrifices to help make sure the future is bright (CNBC)

When you are with a group of strangers, is it best to sit back and be quiet … or interject some words of wisdom every now or then.  If you want to be liked … speak up (TheConversation)

Have medical advances made this big of a dent? According to this article, 90 will soon become the new 40! (Newsweek)


The statements above are supplied for educational purposes only. The statements depict the viewpoints and opinion of the author and are not necessarily the views of Emerald Asset Management or its affiliates. The information described herein is taken from sources which are believed to be reliable, but the accuracy and completeness of such information is not guaranteed by us.