Dear Fellow Shareholders:
Fed Chair Jay Powell recently noted that the economy is experiencing “extraordinary times.” There are several events to which he could have been referring. He could have been alluding to the trade war with China, which has dominated headlines for much of the year. He could have been referring to oil prices which have risen from $40 to over $70 and then collapsed towards $50. Another item to which he could have been referring is the yield curve, portions of which have already inverted. Risky leveraged loans are at record levels. And there is a whole array of geopolitical issues which may have been on Chairman Powell’s mind including Brexit, Italian budget issues, Paris riots, and the election of a left wing president in Mexico.