The Armstrong Report: Fall 2024 Firm Update

Can you believe it is already October? They say time flies when you are having fun, but when you get to be my age, time flies whether you are having fun or not!

ECONOMY

The economy continues to seem to slow down but doesn’t seem to be falling off a cliff. The Federal Reserve, however, on 9/18 did lower the Fed Funds rate by 0.50% from a range of 5.25%-5.50% to a range of 4.75%-5.00%, in a nod that inflation seems to be under control and that a too restrictive monetary policy could choke the so far resilient economy. On the tax front, a lot will be determined by the outcome of the election. This is one reason our webinar on December 5th will be “The New Administration and Year-End Tax Planning.”

MARKETS

Stocks have had a remarkably good year. The first half was marked by continuing outperformance by the largest 7 tech stocks, and volatile bond yields that rose modestly. While a bit more volatile, the third quarter did see performance broaden to more stocks. Bond yields reversed course and dropped significantly. Bonds as of this writing (September 19th) continue to provide decent income and have regained their traditional hedge against equity risk. While equities typically gain after a general election, keep in mind this has already been a decent year for stocks, the markets are overvalued, and that a recession is not out of the question. While money market funds have enjoyed decent yields over the past year or two, investors should now expect those rates, and other savings vehicle rates, to decline.

FIRM

Jason, Creighton, and I represented the firm at LPL’s national conference at San Diego in August. This is a great opportunity to get firsthand access to continuing education, key people at LPL, and representatives of many top investment firms. I also gave a presentation to advisors to share some of what we have done well in our firm. Leslie’s youngest child, Noah, is now a freshman at Clemson. My youngest, whom my wife and I had back in 2007, is now a senior at West Florence. He is one of the Drum Majors for the Marching Knights. He also recently had the privilege of playing the flute in a concert band at London’s Royal Festival Hall with a group of other young people. Finally, for this edition, Jason and Kimberly’s thirteen-year-old son Rush was recently promoted to Senior Master Sergeant in the Civil Air Patrol.

All of us at Armstrong Wealth appreciate your trust. We look forward to continuing to earn it every day. Enjoy the cooler weather.