Monthly Archives: April 2016

Earnings Update

This week we saw a large number of companies report earnings.  As of this morning, 26% of companies in the S&P 500 have reported.  Of those that have reported, 76% have exceeded the mean estimate for Earnings Per Share (EPS) while 55% have exceeded revenue expectations.  The 76% EPS beat is above the five-year average while the 55% revenue beat is below the five-year average.  Continue reading

1st Quarter Market Recap

Brad Combs Baby Announcement

We would like to congratulate Paradigm’s Brad Combs and his wife Emily on the birth of their new son, Ryan.  Ryan was born Thursday, April 14th and weighed 8lb 13oz!  Mom and baby are doing great! Continue reading

U.S. Economy Update

The rally in U.S. equities resumed last week with the S&P 500 Index climbing 1.8%.  Although expectations for the upcoming corporate earnings season are low, investors have instead focused on the positives. Specifically, investors reacted to dovish comments made by Federal Reserve Chair Janet Yellen which counteracted some more hawkish comments made by Fed officials the previous week. Other asset classes came under pressure, including commodities and oil, causing some skepticism about the recent rebound. The oil sell-off was due to heightened doubts about the ability of major producers to formalize a production freeze agreement.  Continue reading

1st Quarter Ends With Markets Mostly Higher

We experienced an unprecedented level of volatility in the first month and a half of 2016.  In the first week alone, both the Dow and the S&P 500 fell nearly 6%.  The downward spiral continued with the lowest point coming on February 11th, when the S&P was down 11.44% for the year and 12.6% from its high in December.  Historically, 2016 was the worst start for the stock market in history.  Reading the headlines or watching TV in late January and early February was difficult as we encountered headlines like “Is this the Start of a Bear Market?”, “Markets In Freefall”, and “Stock Market Crash 2016”.  Concerns on falling oil prices were mostly to blame, though fears of slowing economic growth in China and around the globe also were contributing factors.  Continue reading