If you’ve spent more than five minutes on a kid’s television network, you’ve seen just how inundated young kids are with commercials for everything from the latest gadget, to some dreadful snack that features something gooey and/or messy. It’s also safe to bet that many of these kids run to their parents, wanting to buy some or all of these items.
When we as investors began 2018, we were tuned in to the recent fiscal policy changes that were expected to propel economic activity and the financial markets higher in the coming year. The handoff in leadership from monetary policy to fiscal policy was well underway as a driver of consumer spending, business investment, and corporate profits.
Midyear Outlook 2017: A Shift in Market Control
The LPL Research Midyear Outlook: A Shift In Market Control states the following four themes may be key to the markets over the balance of 2017:
Monetary policy: Slow path to normalization. Maintaining economic growth without extraordinary central bank support will be key.