Investors today are navigating a confusing landscape. On one hand, the Consumer Price Index (CPI) has been trending lower, signaling that the Federal Reserve’s battle against inflation is making progress.
However, as Chief Investment Officer Jim Gore explains in this latest update, looking under the hood reveals a more complex picture.
Key Takeaways from this Update:
The Inflation Paradox: While headline inflation is cooling, key drivers like the National Debt and Money Supply remain significantly above their long-term trend lines. This suggests that structural inflationary pressure hasn’t fully disappeared.
Economic Strength: Despite fears of a recession, GDP growth remains healthy, showing resilience in the broader economy.
Valuation Risks: With the market digesting these mixed signals, Jim reviews current stock market valuation measures—many of which appear elevated relative to historical averages.
Watch the full video to understand how we are positioning portfolios amidst these conflicting signals.
