Momentum continues to build in the housing market, domestically and internationally, and it appears that the real estate recovery is for real. On the domestic front, we have taken notice of a positive trend in pricing, volume, inventory and sentiment across the country. For these reasons, we contend that housing will remain as one of the brightest areas of the U.S. economy and will likely be an engine of future growth for the anemic state of the current U.S. economic recovery.Read more
Monthly Archives: January 2013
Forecasting the Price of Gold in 2013
At Hennion & Walsh, we tend to view investments in gold not only as a potential inflation hedge (recognizing that shorter term inflation forecasts remain muted presently) but also as an equity market volatility hedge. The latter in a similar fashion to the way that investors traditionally have gravitated towards fixed income investments when equity markets are volatile, or depressed, these same investors now seem to be increasingly looking to precious metals (gold and silver included) to help not only from a diversification standpoint but also to assist with total return potential given the record low interest rate environment that fixed income investments find themselves within currently in the U.S..Read more
Fiscal Cliff Meltdown Averted….for now
A last minute fiscal cliff deal/compromise was reached in Washington to avert the initial stages of a potential economic meltdown which was received warmly by the markets given the extent of the relief rally that we have experienced thus far on the first trading day of the New Year. However, we, at Hennion & Walsh, do not believe that we are anywhere close to signaling “all clear†on the Fiscal Cliff front and that the deal in question, while it averted some of the feared, short-term draconian tax increases associated with going over the cliff, did nothing to address the longer term, more encompassing budget issues as the compromise delayed any decisions on spending cuts for another two months. The compromise also did not deal with the impending Debt Ceiling debate, which promises to have both political parties digging in on their ideological heels.Read more