January 2019 Commentary: Anticipating UncertaintySubmitted by MidWestOne Investment Services on January 23rd, 2019
Two weeks ago, I was very complimentary of Mother Nature, approving of the mild winter she had delivered to that point. My, what a difference two weeks makes! Inches of snow already dumped on us, now we look forward to lows at night in the negative double digits and high winds. I do not approve of this negative volatility!
Speaking of a more positive volatility, the equity markets continue on a winning path. The markets are on a small winning streak and depending on the day, are up around 14% since the low on December 26. We aren’t out of the woods yet, but please enjoy the latest insight in Bob Doll’s weekly investment commentary. In it, he reviews their weekly themes and what the latest bounce means to their 2019 outlook.
Whether it is the economy dealing with unknowns from the Fed to China trade to uncertain politics to government shutdown or it is sitting out on your deck grilling to white knuckle winter driving to shoveling your way out of your garage, drivers of volatility exist in all forms in nearly every thing we do. While we all love the big green days for the markets or the sneaky nice winter days, we have to be aware of and plan for when things don’t go in our desired direction. The beginning of the year is a great time to review our plan because maybe we received a raise (positive volatility) or felt insurance premiums increase (negative volatility) so we have to adjust our spending in other areas. In other words, it’s a good time to make sure everything is acting the way we anticipated when the plan was built and understanding how life has pushed a plan around the road a bit. The more regularly we do that, hopefully the less likely it is that we will have big surprises. Please let us know how we can help you with you plan and path toward success.
I try to say it often, but not sure I can ever say it enough. Thank you very much for working with our group. It is our pleasure to work with so many great people and we enjoy being a part of your lives!!
The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. All performance referenced is historical and is no guarantee of future results. All indices are unmanaged and may not be invested into directly.