By Yale Bock, owner and operator of Y H & C Investments,
Many people enjoy the summer because of the hot weather. Kids enjoy it because there are no academic requirements. Some like it because they are off to camp. Many families use the time to travel to distant countries and experience worlds they could only imagine. In the financial markets, summer is associated with a quiet time, as many investment professionals retreat to a second home, often in the Hamptons or in Europe.
From a scheduling standpoint, with the end of June comes the second quarter earnings season. There are four crucial times for all investors, and they are when companies report their financial results. Stock performance is based on earnings, so results are always closely watched. It means no matter where you are, be it the Hampton’s, Europe, on the beach, at the lake, in a boat, or in a different country, if you are a full-time investor, you are paying attention to earnings season.
Even in the middle of current earnings, the trend over most summers is of much lower trading volumes. Markets are looking at the potential of the end of tight monetary policy and have decided things seem much better. Certainly, investment psychology is not nearly as gloomy as it has been.
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This piece is provided as educational information only and is not intended to provide investment or other advice. This material is not to be construed as a recommendation or solicitation to buy or sell any security, financial product, instrument, or to participate in any particular trading strategy.
The discussion of any investments in this presentation is for illustrative purposes only and there is no assurance that the adviser will make any investments with the same or similar characteristics as any investments presented. The investments identified and described do not represent all of the investments purchased or sold for client accounts. The representative investments discussed were selected based on a number of factors including non-performance based criteria. The reader should not assume that an investment identified was or will be profitable. There is no assurance that any investments identified will remain in client accounts at the time you receive this document.