OPS Weekly Market Update Stock Market

Hello friends!

We hope everyone had a spooktacular Halloween!

This week, we’ll be spending a little more time on the supply chain issues, which is a continuously evolving situation with new insights from leading thinkers. Our focus this week will be on how supply chain issues are affecting the stock market. Then, we’ll take a look at some great cities to visit for a weekend away.

We have some good news about the stock market: earnings are up. That’s what we want to see. Despite some recent volatility — thanks to the supply chain bottlenecks we’ve discussed in the past, the COVID pandemic, and rising interest rates — the stock market has performed better than expected according to some analysts.

Corporate earnings seem to have fully recovered from the pandemic, which is good news for the stock market, which is supported by earnings. The energy sector was lagging before the pandemic and has rebounded now, with record-high energy prices.

Whether corporations will be affected by the supply chain problems we’ve been seeing is a bit individual to the industry. Some have coped with rising prices, and so far, that has been working for them, but it can’t last forever — there is a limit to what consumers will or can spend, especially for luxury or entertainment goods.

What matters to investors are earnings and valuations, and at the moment, those factors are looking strong in general. One lesson we’ve learned from history is that riding out volatility and seeing the business cycle to completion offers great rewards. For that reason, we never panic when things look tense.

And the proof is in the pudding: so many of you have been able to achieve your financial goals for retirement over the past year and a half, and we are delighted that the pandemic hasn’t changed everyone’s retirement plans, thanks to our lifestyle protection program. Of course, if you have questions, do give us a call!

Many of us at Obsidian really love to travel — especially our founder, Pat. With international travel a bit trickier thanks to the pandemic, we thought it would be fun to look for some domestic spots that have appeal for a nice weekend getaway. Here are five we love:

  • For the Sports Lover: Indianapolis, Indiana. Wait, you thought we were going to recommend Los Angeles or something? While LA is wonderful, it’s hard not to feel overwhelmed with too much to do and leave you feeling like you didn’t really get to experience the city. Indianapolis, on the other hand, has amazing attractions but won’t turn you inside out trying to figure out what to see and do (and it won’t turn your wallet inside out, either). It’s the most sports-centric city in the country, with NFL and NBA stadiums, the Indianapolis Motor Speedway (which is great even if there’s no race that day), and the only recurring NCAA playoff location. If you’re not a sports fan, you’ll still have plenty to do. Check out the Children’s Museum, the Indianapolis Zoo, and the Eiteljorg Museum of American Indians & Western Art. Or simply enjoy the very walkable downtown Broad Ripple area.
  • For the Outdoor Explorer: Denver, Colorado. Perfect for the outdoorsy types, Denver sits at the base of the Rockies and is accessible to several national parks. Go to a baseball game, check out any of the many art museums, or rent a bike to explore the nearly 90 miles of trails in the area.
  • For the Foodie: Charleston, South Carolina. Can you say Michelin Star restaurants? Charleston has tons of them, so take your food lover to this beautiful southern city filled with nature and history. You won’t get bored exploring the gorgeous cobblestone streets. Plus, if you don’t feel like walking, you’ve got horse-drawn carriages aplenty.
  • For the Music Lover: Austin, Texas. This city boasts more live music venues than anywhere else in the country. Plus, the barbecue can’t be beat. Listen to music, eat ’til you can’t anymore, and enjoy the incredible array of vintage shops. You’ll thank us later (even if your cholesterol doesn’t).
  • For the History Buff: Boston, Massachusetts. In the 2.5 miles of the Freedom Trail, you’ll see 16 Revolutionary War-era sites and the nation’s first public park, the Boston Commons, which is a lot of fun in its own right. The city is also home to America’s oldest running restaurant and oldest running bar. Don’t miss the chance to stroll around Back Bay and the North End (especially if you love Italian food) and the amphibious Duck Tours.

That’s it for us! We’ll see you back here next week.

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We recently met with someone in the early stages of their professional career who was seeking feedback and guidance on becoming a first-time homeowner. This client has also accumulated healthy savings and wants to learn about how to invest that money in the most advantageous way. We loved the chance to talk through the fundamentalss of investing and our philosophies, and to address their questions and concerns. Helping people prioritize and clarify their goals is what gets us out of bed every morning. Let us know if we can help you get organized for your ideal future.

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Advisory Services offered through Obsidian Personal Planning Solutions, LLC. Securities are offered through Triad Advisors, member FINRA/SIPC. Obsidian Personal Planning Solutions, LLC, and Obsidian Personal Planning Solutions, Inc, are not affiliated with Triad Advisors.