December 2019 - Chart of the Month

A year ago the stock market was suggesting the economy was taking a turn for the worse, as shown by the major S&P 500 sectors below. In 2019 all the major indices, aside from energy have rebounded nicely. Contrary to the positive sentiment coming from the market, our discussion with market participants (particularly lenders) suggests mounting concern and uneasiness about the economy. Understandably so, tariffs, a presidential election, delayed Brexit, and impeachment proceedings all loom large for the U.S. and global economy in 2020. Any one of these could bring back the volatility that was seen a year ago. For now, a strong November 2019 jobs report has the US markets feeling good.