Argent Quarterly Investment Commentary – March 2017
The stock market acts like a barometer, not a thermometer. It moves based on the outlook for business and economic conditions n the future rather than reflecting on current conditions.
So what has changed since Election Day? There has been no repeal of the Affordable Care Act, and no income tax relief or big infrastructure spending program. Yet, U.S. stocks have been on a roll, with larger U.S. companies, as measured by the S&P 500 Index, up 11 percent since Election Day and smaller U.S. companies, as measured by the Russell 2000 Index, up 17 percent. Borrowing the great Mae West one-liner, “Too much of a good thing can be wonderful!”