Financial Insights

Business Fundamentals Back at the Controls

In this week’s Weekly Market Commentary, LPL Financial shares its Mid-Year Outlook for 2017. Key takeaways include: LPL Research forecasts 6–9% returns for the S&P 500 in 2017, commensurate with expected earnings gains. As investors increasingly trust that the economycan stand on its own without the need of monetary policy support, business fundamentals should take over as the primary market engine. The economic expansion is poised to continue, and powered by business fundamentals, this eight-year-old bull market will probably continue as well. Stocks are in a good position to stand on their own as monetary policy support is removed and deliver modest additional gains in the second half of 2017. Read the complete report from LPL Finanical’s Burt White, Chief Investment Officer, and Jeffrey Buchbinder, CFA Market Strategist.  

LPL Research’s Mid-YearOutlook 2017: A Shift in Market Control

June 15, 2017 | posted in: Blog, Financial Insights | by

Hot off the press this morning, and a must-read!
The report recaps where we’ve been so far this year, and looks at what forces are driving the market as we head into the second half of the year. For a look at what forces are driving current markets, click here to check out LPL Financial’s Mid-Year Outlook: 2017 – A Shift In Market Control. Key takeaways from the report include:   Read More  »

Fed’s Beige Book Suggests Continued Modest Economic Growth

The latest edition of the Federal Reserve’s (Fed) Beige Book, released 5/31/17, continued to deliver a positive view of the U.S. economy.
The Beige Book is a qualitative assessment of the domestic economy and each of the 12 Fed districts individually, prepared eight times per year, ahead of each of the eight Federal Open Market Committee (FOMC) meetings. LPL believes itis best interpreted by measuring how the key words change over time. The qualitative inputs for the May 2017 Beige Book were collected in April 2017 through May 22, 2017. Based on LPL’s analysis, the Beige Book continues to deliver a positive view of the U.S. economy.  LPL’s Beige Book Barometer (strong words minus weak words) fell slightly to +75 in April, indicating continued steady economic growth.  However, words related to wage pressure have risen slightly over the last six months, indicating a modest but still very manageable impact. Click to read LPL Research’s full report by LPL Financial’s Matthew E. Peterson, Chief Wealth Strategist, and Barry Gilbert, PhD, CFA Senior Economic Analyst.

Earnings Season for 1Q2017 is Almost Over – How’d We Do?

May 24, 2017 | posted in: Blog, Financial Insights | by

Now that we’re nearing the end of the 1Q2017 earnings season, we can assess how it did.
According to LPL Financial’s latest Dashboard, 1Q2017 came in at +15% year over year, 5% better than was expected. Click through to learn more about what else Q1 brought us.

Congratulations on Your Retirement…Now, Don’t Go Broke!

May 11, 2017 | posted in: Blog, Financial Insights, Uncategorized | by

Being newly retired is definitely a reason to celebrate — and spend — some of the hard-earned money you’ve saved over the years.
Yet with Americans living longer, experts say you need to plan for a retirement that could last 30 years or more. Add in ever-rising medical costs, mostly stagnant Social Security checks and all of a sudden that pile of cash doesn’t look so big. Authors Katie Young and Sharon Epperson lay out some rookie mistakes to avoid so that you don’t run out of money iin retirement. Click here to read the full article and view the video from CNBC.

NASDAQ 6000? What DOES that mean?

Did you know we hit another major market milestone recently? The NASDAQ Composite broke 6,000, 17 years after first reaching 5,000 in March 2000. So what does that mean? According to Burt White, Chief Investment Officer, and Jeffrey Buchbinder, CFA Market Strategist, of LPL Financial, “Although this milestone has sparked more bubble discussions in the media, we believe stocks are far from bubble territory. A comparison of the Nasdaq today versus March 2000 reveals much lower valuations and far less euphoric sentiment.” Read on to learn why, and why it matters.