Broker Check

Integrated Insights -- Week of September 7, 2021

September 07, 2021

Despite the Delta variant of COVID-19, supply chain bottlenecks, a spike in input prices, and a meaningful employer/employee mismatch (there are more job openings than there are job seekers), the US economy continues to power ahead--Our Mid-Quarter Investment Market Commentary (which was published and sent to clients last week) opened with this note. The economic recovery has been quite remarkable so far.  As the government begins to "take off the guardrails", we will be monitoring the economic impact of reduced unemployment and the expiration of eviction moratoriums across the country.

Here's what we are reading this week:

Mid-Quarter Economic Commentary -- 3rd Quarter 2021 -- Vitucci Integrated Planning

You can read our full commentary HERE.

Weekly Commentary -- Spotlight on Europe -- BlackRock

  • Two key events - BlackRock are staying tactically overweight European equities with two key events on the horizon: a European Central Bank (ECB) meeting and the German election.
  • Jobs Growth - U.S. jobs growth in August was far below expectations. Yet we caution that seasonality could be at play and a revision upwards is possible.
  • Week ahead - An ECB policy meeting is expected to show persistent below-target inflation, implying a need for the central bank to contemplate further easing measures.

Entering the Twilight Zone -- Cetera Investment Management

Cetera published a research piece acknowledging some eerie parallels between the 1950s and today, including economic links such as high government debt levels and low-yielding bonds, as well as societal themes such as television & car popularity and a migration to suburbia. The entire publication is an interesting read with many subsequent considerations.

Tech Savvy Companies in Non-Tech Sectors -- Capital Group

Capital Group continues research on its investment thesis noting how most international companies are investing in digital infrastructure and this has been super-charged by the COVID-19 pandemic.