Mitchell Anthony

China – The Next Economic Superpower or just the World’s Largest Economy?

China – The Next Economic Superpower or just the World’s Largest Economy? August 20, 2021 By Mitchell Anthony   Is China the next Economic Superpower You cannot talk about global economics without reference to China’s attempt to infringe upon America’s title of Supreme Economic Superpower.  There is clearly a race going on!  China’s monarchy has made significant progress at ending poverty in China and is now at work building a large middle class that can consume, pay taxes, and support a strong Government Budget.  The question that is on everyone’s mind however is: will China become a stronger economic powerhouse than America?  Rest assured they will soon become a larger economy than America but will they be superior and more powerful?Read more

by Mitchell Anthony

Expectations for Boomy Growth Sink!

Expectations for Boomy Growth Sink! July 31, 2021 By Mitchell Anthony   The 2nd quarter was great yet again for equity markets, but volatile for expectations for the US Economy. How quickly the outlook can change – Boomy growth expectations from CEO’s and Market strategists that were plentiful at the beginning of the quarter were nowhere to be found by the end.  Leadership in the equity markets adjusted accordingly as secular growth companies (Tech, ecommerce, services) found renewed leadership and cyclical value oriented names fell from top to bottom as the quarter unfolded. Inflation spiked as the sleeping consumption giant awoke hungry and found the kitchen in a poor state of supply with modest inventory.  The Fed’s patient posture toward inflation is certainly under the microscope and is the center of worry for investors.Read more

by Mitchell Anthony

Is Bitcoin a Mania Bound to Bust?

Is Bitcoin a Mania Bound to Bust? By Mitchell Anthony May 27, 2021   Bitcoin has no measurable value or investment thesis but yet has garnered the attention of conservative investors as well as wild speculators. It seems like the Bitcoin Mania is far from over as speculators ripe with optimism about the need for a digital currency continue to build.  The current Market Value of all Bitcoin is nearly 1 Trillion and growing.  Bitcoin has been extremely volatile since its inception in 2012 but the value has trended higher overall despite virtually no clear understanding by anyone of how bitcoin will become a viable currency.Read more

by Mitchell Anthony

GOT A BAD HAIRCUT TODAY!

GOT A BAD HAIRCUT TODAY! By Mitchell Anthony April 29, 2021   Is it just me or has the quality of consumer services been falling.  I’m an optimist and I always tend to hope for the best and believe in people but quite frankly I have noticed a decline in the quality of services that we have in the US economy.  As an example just yesterday I got a haircut that was less than satisfactory and when I complained I was met with an indignant service provider.  He offered no discount or apology for giving me a Patrick Mahomes haircut (FADE), who happens to be one of my idols, but not because of his haircut but because of the way he throws a football (NFL All Pro).  I asked for a fohawk haircut like Brad Pitt has but instead got something much more like a FADE!  If I hadn’t been paying attention I would’ve looked like Mr. “T” with a mohawk. Read more

by Mitchell Anthony

Consumer Confidence Bouncing?

Consumer Confidence Bouncing?

By Mitchell Anthony

April 9, 2021

 

The Equity and Commodity Markets roared ahead in the first quarter of 2021 as Covid concerns fell and consumer confidence bounced.  Expectations for more fiscal stimulus was met by Congress’s approval of a 1.8 trillion stimulus package full of support for almost all of those in need and then some who are not. Despite an Economy that is not yet robust or demanding high quantities of raw materials, most commodities rallied strongly as suppliers were caught off guard as demand tilted up and capacity was minimized with many mills and processing plants offline. Optimism for a broad economic recovery developed in the quarter driving up stocks and putting downward pressure on Bonds.  Real Estate continued to fly higher.Read more

by Mitchell Anthony

Reopening the Experience Side of the US and the Globe?

Reopening the Experience Side of the US and the Globe? By Mitchell Anthony February 23, 2021   Americans love to dine, entertain, party and attend sports events.  Americans love for material things had transformed over the last decade into a love for experiences that mostly involve people and gathering. Unfortunately all of those great events that Americans love to pursue came to a roaring halt at the beginning of 2020 due to Covid 19.   Over the last year the regulatory environment and consumer fear has mostly prohibited the restart of experiences and most of the gathering in America and the globe is still shut down or minimized.  This has had a harsh effect on a large part of the US and global economy that is tied to experiences. With vaccinations well underway in America and the globe there is hope and light at the end of this dark tunnel.Read more

by Mitchell Anthony

The Outlook with the Dems in Control?

The Outlook with the Dems in Control? By Mitchell Anthony January 18, 2021     The Democrats have taken control of the Senate and hold it along with the house and the presidency. While a Biden victory was expected by many, control of the Senate by the Dems was unexpected by most investors and market strategists.  Democrats have a history of taxing and spending that has frightened investors concerned about the fragile state of the US economy!Read more

by Mitchell Anthony

Markets Moving Higher on Expectations for Vaccine Success

Markets Moving Higher on Expectations for Vaccine Success By: Mitchell Anthony November 25, 2020   Is the Covid Bounce Sustainable? The distressed areas of the US equity market have rallied hard over the last few weeks pushing the Dow Jones industrial average over 30,000 for the first time. This occurred after three vaccine makers announced that they had achieved over 90% efficacy with their vaccines.  This really exciting news caused investors to scoop up airline stocks, REITs, hotels, casinos, energy, and automakers. Since November 10th the equity market leadership has been dominated by highly distressed cyclicals and industrial names and other so-called re-open names in the equity market.  We also saw strength in Biden industries including environmental stocks and semi-conductors companies that are poised to benefit from new policies that Biden plans to enact once in office.  At the same time we have seen the stay at home names pause after a steady and substantial six month rally.  The FAANG has been flat for the last three months while at the same time these distressed value names have advanced 5 to 10% or more.  Is this three week move in these distressed areas of the market sustainable? How far will distressed areas of the equity market go on the come of substantial vaccine success? These are questions that we have been asking ourselves along with the rest of the Wall Street strategists who have pondered on the change of leadership that has just occurred over the last few weeks. Read more

by Mitchell Anthony

Markets Climb as Virus Containment Continues

Markets Climb as Virus Containment Continues Quarterly Review, October 7, 2020 By Mitchell Anthony   The US equity markets had a terrific quarter despite the fact that little progress was achieved in containing the coronavirus.  US Equities lead all asset classes in the 3rd quarter of 2020 with the S&P 500 advancing 9%, MACM’s Dynamic Growth Portfolio Advancing 12%, and MACM’s Diversified Equity portfolio advancing 13.7%. Foreign Equities lagged badly in the quarter likely due to the fact that the European economy has very little share of the globe’s big cap tech industry.   Gold advanced 5.8% as the Fed adopted a posture of more accommodation and more patience with inflation.  Real estate failed to follow through with further gains in the third quarter after significant gains in the second quarter.  Generally most REITs were flat or up 1-2% in Q3.  High quality fixed income investments were mostly flat for the quarter as prices began the quarter at historical highs with only a few rational reasons why investors might expect yields to decline further.  Distressed debt performed a bit better as credit quality improved during the quarter given the feds intervention and Congress’s willingness to support distressed areas of the economy.Read more

by Mitchell Anthony

Tech Wins No Matter Who Wins Election?

Tech Wins No Matter Who Wins Election? By Mitchell Anthony September 30, 2020   With the election around the corner investors are getting nervous about the impact a Biden victory might have on the equity market and the leadership in the equity market.  Thus far, since Washington, the Congress, and the central bank declared war on the pandemic, the equity market has roared and the leadership has been centered in technology stocks.  The reason is simple - These companies are leveraging the current environment and have a tailwind at their back.  Cyclical stocks like airlines, hotels, and restaurants have begun to recover but the outlook for them is still very uncertain and highly dependent upon the termination of the virus. This group may not win no matter who wins the election or conversely could win with either candidate based upon the virus outcome.  However technology is likely to win no matter what the outcome of the virus is and no matter what the outcome of the election might be.Read more

by Mitchell Anthony