Wednesday’s markets initially sold off and tested the low point we saw on Tuesday. However, Tuesday’s low held and the market rallied strongly.  We believe this marker a near term low, not the bottom from which a major bull market will start. The tax stimulus and Fed action is welcome, but may act more as a “band-aid”; however, it is calming investor’s fears. There’s a small rally going on right now for 5-10%, which is giving us the opportunity to make adjustments, raise some cash and wait and watch for a sign of a major bottom.

This week, unemployment claims were down. Next week, we will be watching for the GDP, the Fed meeting and jobless claims.

On Monday, our Chairman, Drew Kanaly, appeared on the Fox Business News Channel and on Wednesday, he was featured on Bloomberg TV’s “Final Word.” Click on the links to hear what he had to say about the markets.


This material represents an assessment of the market environment at a specific point in time and is not intended to be a forecast of future events, or a guarantee of future results. This information should not be relied upon by the reader as research or investment advice regarding the Funds or any stock in particular, nor should it be construed as a recommendation to purchase or sell a security, including futures contracts.

There are risks involved with investing, including loss of principal. Current and future portfolio holdings are subject to risks as well. International investments may involve risk of capital loss from unfavorable fluctuation in currency values, from differences in generally accepted accounting principles or from economic or political instability in other nations. Narrowly focused investments and smaller companies typically exhibit higher volatility. Bonds and bond funds will decrease in value as interest rates rise. High-yield bonds involve greater risks of default or downgrade and are more volatile than investment-grade securities, due to the speculative nature of their investments. Emerging markets involve heightened risks related to the same factors as well as increased volatility and lower trading volume.

Diversification may not protect against market risk. There is no assurance the objectives discussed will be met. Past performance does not guarantee future results Index returns are for illustrative purposes only and do not represent actual portfolio performance. Index returns do not reflect any management fees, transaction costs or expenses. One cannot invest directly in an index.