A host of factors have recently been pressuring the stock market. The S&P 500 Index has nearly doubled from its bear-market low in March 2020, signifying one of the strongest 16-month gains in post-war history! After such a robust, uninterrupted advance, it simply feels overdue for a correction. Moreover, compared to historical norms, valuation measures...
For over 40 years, the Grassi’s have handled our family’s money. Their ability to succeed in up and down markets is proven, with great returns year after year. Aside from their performance, Pete listens and discusses both your life and money goals and your investments and the markets. This isn’t a cookie cutter shop –...
My wife Judy and I were privileged enough to be introduced to Grassi Investments by our Schwab agent around the year 2000 and have been their clients ever since. Pete Jr. and his father, Pete Sr. along with the entire team at Grassi Investments have an amazing insight into the investment world through their various...
Over the last year, we witnessed policymakers’ experiment with ways to force the economy out of its steepest dive since the Great Depression, applying massive fiscal and monetary stimulus at light speed. The Fed used the power of its record-setting $7.6 trillion (and growing) balance sheet while Congress voted $5.5 trillion of fiscal stimulus to...
2020 will go down in history as a year we all wish we could forget, but never will. The unprecedented coronavirus pandemic changed everything. While the economic and earnings recession was short but deep, the humanitarian crisis remains devastating. The U.S. alone has already seen more than 15 million cases (over 75 million globally) and...
When the world entered the throes of the sharp recession in the spring, we expected a sharp rebound followed by a gradual and choppy economic recovery. The initial recovery resembled a “V” pattern, but the path has since cooled and looks more irregularly higher. Two key factors have driven economic momentum: 1) massive monetary and...
Stock prices have roared back strongly through the second quarter, as investors grew increasingly optimistic over prospects for economic reopening and the unprecedented monetary policy support that provided a strong tailwind for equities. At this point, however, stocks are looking somewhat richly valued and we think investors may be looking past some key risks. We...
The U.S. economy is in free-fall, perhaps headed for its deepest recession of the post-war era. Typically, recessions are necessary to corrects that build up during an expansion—for example, restoring liquidity, improving savings, purging bad debt, and realigning exorbitant risks. In the economic recovery that just ended, however, there were very few excesses or problems...
In a few short weeks, the financial markets in the US have experienced their fastest decline in history as CoViD-19 was officially elevated to a “pandemic” as it spread out of China, infecting populations around the world while triggering tremendous levels of panic selling in the financial markets. While data from earlier this quarter suggested...
