Financial markets showed mixed results for the third quarter of 2019. U.S stocks finished up, while International stocks struggled with losses. Bonds were also positive, as interest rates moved lower.
The quarter showed continued wage growth and strong consumer spending, both good signs for future economic growth. Housing also moved back into positive territory on lower mortgage rates and higher affordability. These fundamentals and economic strengths should help to cushion any short-term market volatility.
Despite the positives, risks remain that could have negative effects on markets in the long term. The impeachment proceedings, the ongoing U.S – China trade war and slowing job growth are a few of the things that we are concerned about. However, rising risks do not mean immediate trouble.
In closing, we remain watchful and remind everyone that a well-diversified portfolio combined with a long-term view toward investing remains the best way forward.