Compass Watch
Since mid-2014, the U.S. trade-weighted broad dollar index1 has appreciated nearly 20%2, with the largest gains against the Japanese yen, Mexican peso, Canadian dollar and the Euro. Currency movements have always been complicated both in their causes and consequences.
Just nine months ago, U.S. stock indexes were hitting all-time highs as the bull market was passing its six year anniversary (from the March 2009 lows). Since then, the Federal Reserve has begun raising short-term interest rates, oil has continued its precipitous retreat (from its recent high, oil is down 68%) and …
As the equity markets continue to reach new highs (positive 200%1 from 2009 lows) and the current yield on the 10-year U.S. Treasury hovering around 2.35%1, a number of highly-regarded publications have implied that stocks continue to be the only reasonable place to invest.