We continue to observe evidence of accelerating economic growth, an environment that historically bodes very well for stocks. We remain optimistic and anticipate a positive investment climate to persist for much of 2017.
Brian Wesbury, Chief Economist for First Trust Portfolios, shares a similar viewpoint in this short video about how and why he believes “the plow horse is dead.”
Wesbury sees our technology industries, ranging from fracking, human genome, the cloud, and 3D printing, as “thoroughbreds” who will finally be able to run. The “jockey,” aka the government, had become too heavy, weighing these thoroughbreds down with regulations. He predicts Trump’s promise to reduce spending, reduce regulations, and lower taxes will allow the thoroughbreds to run faster. As a result, Wesbury believes the economy and stock market will do “very well.”
Barron’s Magazine ranked First Trust as a top Fund Family of 2016.
For any questions about your portfolio, or any of the information in this video, please contact us.