Blame it on the coronavirus.

Stock markets in the United States and Europe retreated last week as the number of new COVID-19 cases increased steadily in America. On Thursday, there were more than 44,000 new cases, the highest daily total to date, according to data from the Centers for Disease Control.

“The turn has created a new puzzle for investors, many of whom had started focusing on 2021 earnings expectations as the next performance-driver for stocks. The old market gauges, like manufacturing surveys, jobs tallies, and retail sales, feel like lagging indicators. The new leading indicators deal with the disease. Yet tracking its progress is tricky even for epidemiologists who have studied these issues for decades,” reported Avi Salzman of Barron’s.

Another piece of the investment puzzle was reshaped when the Federal Reserve (Fed) released bank stress test results last week. It found most banks were likely to remain well-capitalized if economic growth rebounds relatively quickly. However, in a worst-case economic recovery scenario, banks did not fare as well. Consequently, the Fed suspended share buybacks and capped the dividends banks can pay investors, reported Alexandra Scaggs of Barron’s.

“The Fed…also said future payouts would depend on bank earnings – and bank earnings will start to look worse as pre-coronavirus quarters drop out and are replaced by COVID-impaired results. Even that decision might not have been a problem if the market believed the spread of COVID was under control. Then the numbers started coming out. Florida’s seven-day average of cases grew 7.8 percent, up from the previous day’s 4.1 percent. Arizona’s jumped to 5.4 percent, from 2.9 percent. In Texas, the positivity rate – that is, the number of tests divided by positive results – hit 11.8 percent,” reported Ben Levisohn of Barron’s.

Anthony Fauci, director of the National Institute of Allergy and Infectious Diseases, dispelled the notion this is a second wave of the virus. He told The Wall Street Journal, “People keep talking about a second wave…We’re still in a first wave.”

College sports budget cuts. College and university campuses across the world are facing serious financial shortfalls. “Revenues are plummeting as students (particularly international ones) remain home or rethink future plans, and endowment funds implode as stock markets drop,” reported Alexandra Witze in Nature.

One way some schools are trying to balance budgets is by cutting sports programs. Kendall Baker of Axios News reported athletic directors and conference commissioners are brainstorming ways to lower spending, including reducing travel by focusing on regional play and eliminating conference championship tournaments. The sports affected may include:

·         Field hockey
·         Men’s and women’s soccer
·         Men’s and women’s tennis
·         Women’s lacrosse
·         Softball
·         Baseball

During the past 12 weeks, 43 Division I teams have been eliminated from the NCAA, reported Baker. “Men’s and women’s tennis have been hit the hardest, as have Olympic sports like volleyball. That could affect future podiums: 88 percent of American athletes in the Rio Games had played their sport in college.”

Power 5 conferences, which include the Atlantic Coast, Big 12, Big Ten, Pac-12, and Southeastern Conferences have not yet eliminated a sports team. That may change if the highly lucrative football season is cancelled due to COVID and television deals, which account for about a third of revenue, disappear.

A source cited by Ross Dellenger and Pat Forde of Sports Illustrated suggested the accounting may deserve a closer look. So-called ‘non-revenue generating’ sports often generate income for colleges and universities because many athletes pay tuition:

“While trimming their own budget, athletic directors are often hurting their university’s bursar office. Sure, eliminating a men’s track team might save $1 million a year in the athletic budget, but what is it costing the academic side…A track team could be generating over $1 million to the university side.”

Weekly Focus – Think About It
“Do not judge me by my successes, judge me by how many times I fell down and got back up again.”
–Nelson Mandela, Former President of South Africa

Investment advice offered through Research Financial Strategies, a registered investment advisor.
* This newsletter and commentary expressed should not be construed as investment advice.
* Government bonds and Treasury Bills are guaranteed by the U.S. government as to the timely payment of principal and interest and, if held to maturity, offer a fixed rate of return and fixed principal value.  However, the value of fund shares is not guaranteed and will fluctuate.
* Corporate bonds are considered higher risk than government bonds but normally offer a higher yield and are subject to market, interest rate and credit risk as well as additional risks based on the quality of issuer coupon rate, price, yield, maturity, and redemption features.
* The Standard & Poor’s 500 (S&P 500) is an unmanaged group of securities considered to be representative of the stock market in general. You cannot invest directly in this index.
* All indexes referenced are unmanaged. The volatility of indexes could be materially different from that of a client’s portfolio. Unmanaged index returns do not reflect fees, expenses, or sales charges. Index performance is not indicative of the performance of any investment. You cannot invest directly in an index.
* The Dow Jones Global ex-U.S. Index covers approximately 95% of the market capitalization of the 45 developed and emerging countries included in the Index.
* The 10-year Treasury Note represents debt owed by the United States Treasury to the public. Since the U.S. Government is seen as a risk-free borrower, investors use the 10-year Treasury Note as a benchmark for the long-term bond market.
* Gold represents the afternoon gold price as reported by the London Bullion Market Association. The gold price is set twice daily by the London Gold Fixing Company at 10:30 and 15:00 and is expressed in U.S. dollars per fine troy ounce.
* The Bloomberg Commodity Index is designed to be a highly liquid and diversified benchmark for the commodity futures market. The Index is composed of futures contracts on 19 physical commodities and was launched on July 14, 1998.
* The DJ Equity All REIT Total Return Index measures the total return performance of the equity subcategory of the Real Estate Investment Trust (REIT) industry as calculated by Dow Jones.
* The Dow Jones Industrial Average (DJIA), commonly known as “The Dow,” is an index representing 30 stock of companies maintained and reviewed by the editors of The Wall Street Journal.
* The NASDAQ Composite is an unmanaged index of securities traded on the NASDAQ system.
* International investing involves special risks such as currency fluctuation and political instability and may not be suitable for all investors. These risks are often heightened for investments in emerging markets.
* Yahoo! Finance is the source for any reference to the performance of an index between two specific periods.
* Opinions expressed are subject to change without notice and are not intended as investment advice or to predict future performance.
* Economic forecasts set forth may not develop as predicted and there can be no guarantee that strategies promoted will be successful.
* Past performance does not guarantee future results. Investing involves risk, including loss of principal.
* The foregoing information has been obtained from sources considered to be reliable, but we do not guarantee it is accurate or complete.
* There is no guarantee a diversified portfolio will enhance overall returns or outperform a non-diversified portfolio. Diversification does not protect against market risk.
* Asset allocation does not ensure a profit or protect against a loss.
* Consult your financial professional before making any investment decision.
* To unsubscribe from the Weekly Market Commentary please reply to this e-mail with “Unsubscribe” in the subject.

Investment advice offered through Research Financial Strategies, a registered investment advisor.

https://www.barrons.com/market-data (or go to https://peakcontent.s3-us-west-2.amazonaws.com/+Peak+Commentary/06-29-20_Barrons-Market_Data-Footnote_1.pdf)
https://www.cdc.gov/coronavirus/2019-ncov/cases-updates/cases-in-us.html (Scroll down to New Cases by Day chart) (or go to https://peakcontent.s3-us-west-2.amazonaws.com/+Peak+Commentary/06-29-20_CDC-New_US_Cases_by_Day-Footnote_2.pdf)
https://www.barrons.com/articles/investors-at-crossroads-as-coronavirus-forces-rethinking-of-reopenings-51593214377?mod=hp_LEAD_2 (or go to https://peakcontent.s3-us-west-2.amazonaws.com/+Peak+Commentary/06-29-20_Barrons-
Investors_at_Crossroads_as_Coronavirus_Forces_Rethinking_of_Reopenings-Footnote_3.pdf)
https://www.barrons.com/articles/bank-stocks-are-falling-because-the-fed-has-capped-their-dividends-and-suspended-buybacks-51593119624?mod=hp_LEAD_2 (or go to https://peakcontent.s3-us-west-2.amazonaws.com/+Peak+Commentary/06-29-20_Barrons-Bank_Stocks_are_Falling_Because_the_Fed_has_Capped_their_Dividends-Suspended_Buybacks-Footnote_4.pdf)
https://www.barrons.com/articles/the-stock-market-just-had-a-very-bad-week-why-it-could-get-worse-51593217141?mod=hp_LEADSUPP_2 (or go to https://peakcontent.s3-us-west-2.amazonaws.com/+Peak+Commentary/06-29-20_Barrons-The_Dow_Just_had_a_Very_Bad_Week-Why_It_Could_Get_Worse-Footnote_5.pdf)
https://www.wsj.com/articles/fauci-warns-of-coronavirus-resurgence-if-states-dont-adhere-to-safety-guidelines-11592338771 (or go to https://peakcontent.s3-us-west-2.amazonaws.com/+Peak+Commentary/06-29-20_WSJ-Fauci_Warns_of_Coronavirus_Resurgence_if_States_Dont_Adhere_to_Safety_Guidelines-Footnote_6.pdf)
https://www.nature.com/articles/d41586-020-01518-y
https://www.axios.com/college-sports-coronavirus-budget-cuts-football-b9604edc-cc72-4eec-96bc-7279683188f0.html
https://www.axios.com/college-sports-coronavirus-crisis-f35a8526-7bcf-4364-96d1-eed6704aef58.html
https://www.si.com/college/2020/06/11/college-sports-program-cuts-ncaa-olympics?utm_source=newsletter&utm_medium=email&utm_campaign=newsletter_axiossports&stream=top
https://www.britannica.com/list/nelson-mandela-quotes

Could it be the upside surprises?

U.S. stock markets have marched higher despite a pandemic, an economic downturn, and social justice protests – and a lot of people have wondered why.

Greg Rosalsky of Plant Money spoke with Nobel Prize-winning economist Robert Shiller about, “…the mass psychology of a gazillion buyers and sellers, who each are telling themselves their own stories about why they’re making the trades they’re making.”

Rosalsky and Shiller discussed some narratives that purport to explain recent market performance, including:

·         Quarantine boredom. Matt Levine of Bloomberg has postulated “…a lot of individual investors buy stocks mainly because it’s fun, and that the more fun stocks are, and the less fun everything else is, the more they’ll buy stocks. In a pandemic, when people can’t really leave their house and sports are canceled, there is a lot less fun to be had elsewhere…so people buy more stocks.”

·         Big, publicly–traded companies are safe. This theory suggests businesses hit hardest by the economic downturn often are not traded on stock exchanges. In a separate article, Rosalsky cited former technology executive Eric Schmidt who wrote, “Gigantic corporations, which have deep pockets, fancy accountants, huge legal teams, and access to international financial markets, are also better equipped to weather shocks than your local hardware store or small manufacturing company.”

 ·         Don’t fight central banks. “The Fed is using its unlimited money-printing machine to single-handedly prop up the stock market. ‘The Fed is itself an important narrative,’ Shiller says. In reality, he says the Fed’s magic over the real economy is limited. But its statements clearly move markets, and it has lots of power as a storyteller,” reported Rosalsky.

On Saturday, Lisa Beilfuss of Barron’s offered another narrative. She reported:

“…upside economic surprises over the past two weeks – mortgage applications hit the highest level since 2008, retail sales rose at the fastest pace ever, and U.S. businesses added 2.5 million jobs in May instead of cutting an anticipated eight million, to name a few – are even better than they look and offer at least some proof that the stock-market rebound was driven by expectations for improving fundamentals…It’s about the magnitude of the surprises versus Wall Street’s expectations.”

We don’t know which narratives were responsible, but major U.S. stock indices moved higher last week.

What do you think? In recent years, we’ve learned a lot about why investors do the things they do. For instance, we now know investors are not the omniscient, rational decision-makers economists believed them to be. Investors have built-in biases that sometimes cause them make errors in thinking.

One of those biases is known as confirmation bias. Investors (and non-investors) have a tendency to seek data that reinforces their beliefs and ignore data that suggests they’re wrong. Recently, sentiment data has been published that supports diverse ideas about the direction of the economy and stock markets. For example:

·         Consumer sentiment was up month-to-month, suggesting Americans were more optimistic about their personal finances and current economic prospects in June than they were in May. However, sentiment remains down year-to-year and below the baseline, which is consumer sentiment in 1966 (the year the survey began).

·         Investor sentiment was down week-to-week. Almost one-half of participants (47.8 percent) in the American Association of Individual Investors (AAII) Sentiment survey were feeling bearish last week, while one-fourth (24.4 percent) were feeling bullish. The bulls were down 9.9 percent week-to-week, and the bears were up 9.7 percent week-to-week. Some investors consider the AAII survey to be a contrarian indicator, meaning they think the survey’s prevailing sentiment is incorrect. In this case, contrarians would be bullish.

·         Money managers think the market is overvalued. Bank of America surveyed 212 money managers with $598 billion under management and reported 78 percent think the stock market is pricey. Survey participants indicated the most crowded trades were U.S. technology and growth stocks, reported John Melloy of CNBC.

When data supports varied opinions, how can investors avoid mistakes? One of the best ways is to work with an advisor who has a clearly defined process and who will help you develop a plan to meet your financial goals.

Weekly Focus – Think About It
“A public-opinion poll is no substitute for thought.”
–Warren Buffett, Investor and philanthropist

Investment advice offered through Research Financial Strategies, a registered investment advisor.
* This newsletter and commentary expressed should not be construed as investment advice.
* Government bonds and Treasury Bills are guaranteed by the U.S. government as to the timely payment of principal and interest and, if held to maturity, offer a fixed rate of return and fixed principal value.  However, the value of fund shares is not guaranteed and will fluctuate.
* Corporate bonds are considered higher risk than government bonds but normally offer a higher yield and are subject to market, interest rate and credit risk as well as additional risks based on the quality of issuer coupon rate, price, yield, maturity, and redemption features.
* The Standard & Poor’s 500 (S&P 500) is an unmanaged group of securities considered to be representative of the stock market in general. You cannot invest directly in this index.
* All indexes referenced are unmanaged. The volatility of indexes could be materially different from that of a client’s portfolio. Unmanaged index returns do not reflect fees, expenses, or sales charges. Index performance is not indicative of the performance of any investment. You cannot invest directly in an index.
* The Dow Jones Global ex-U.S. Index covers approximately 95% of the market capitalization of the 45 developed and emerging countries included in the Index.
* The 10-year Treasury Note represents debt owed by the United States Treasury to the public. Since the U.S. Government is seen as a risk-free borrower, investors use the 10-year Treasury Note as a benchmark for the long-term bond market.
* Gold represents the afternoon gold price as reported by the London Bullion Market Association. The gold price is set twice daily by the London Gold Fixing Company at 10:30 and 15:00 and is expressed in U.S. dollars per fine troy ounce.
* The Bloomberg Commodity Index is designed to be a highly liquid and diversified benchmark for the commodity futures market. The Index is composed of futures contracts on 19 physical commodities and was launched on July 14, 1998.
* The DJ Equity All REIT Total Return Index measures the total return performance of the equity subcategory of the Real Estate Investment Trust (REIT) industry as calculated by Dow Jones.
* The Dow Jones Industrial Average (DJIA), commonly known as “The Dow,” is an index representing 30 stock of companies maintained and reviewed by the editors of The Wall Street Journal.
* The NASDAQ Composite is an unmanaged index of securities traded on the NASDAQ system.
* International investing involves special risks such as currency fluctuation and political instability and may not be suitable for all investors. These risks are often heightened for investments in emerging markets.
* Yahoo! Finance is the source for any reference to the performance of an index between two specific periods.
* Opinions expressed are subject to change without notice and are not intended as investment advice or to predict future performance.
* Economic forecasts set forth may not develop as predicted and there can be no guarantee that strategies promoted will be successful.
* Past performance does not guarantee future results. Investing involves risk, including loss of principal.
* The foregoing information has been obtained from sources considered to be reliable, but we do not guarantee it is accurate or complete.
* There is no guarantee a diversified portfolio will enhance overall returns or outperform a non-diversified portfolio. Diversification does not protect against market risk.
* Asset allocation does not ensure a profit or protect against a loss.
* Consult your financial professional before making any investment decision.
* To unsubscribe from the Weekly Market Commentary please reply to this e-mail with “Unsubscribe” in the subject.

Investment advice offered through Research Financial Strategies, a registered investment advisor.

The Nasdaq Composite dipped its toes into record territory last week before retreating.

Stock indices in the United States rallied early last week on optimism about the reopening of businesses across the country. The Nasdaq Composite rose to 10,000 for the first time ever, before tumbling lower.

Nicholas Jasinski of Barron’s reported, “What caused the rally to sputter this past week? Nothing particularly new or unexpected. On Wednesday, Federal Reserve Chairman Jerome Powell emphasized the long, slow path back to previous levels of employment and economic activity, in contrast to the market’s lightning-fast recovery. Shocking.”

On Wednesday, the United States Federal Reserve (Fed) economic projections showed U.S. economic growth declining 6.5 percent this year with unemployment receding to 9.3 percent. In 2021, the Fed expects economic growth to improve, increasing by 5 percent, while unemployment ebbs to 6.5 percent.

Fed Chair Jerome Powell said:

“The extent of the downturn and the pace of recovery remain extraordinarily uncertain and will depend in large part on our success in containing the virus. We all want to get back to normal, but a full recovery is unlikely to occur until people are confident that it is safe to reengage in a broad range of activities. The severity of the downturn will also depend on the policy actions taken at all levels of government to provide relief and to support the recovery when the public health crisis passes.”

Powell indicated low income workers have been hit hardest in this recession and Congress may need to take additional action to help improve the labor situation in the United States.

News that the number of confirmed coronavirus cases had risen in several U.S. states, as well as other countries, coupled with the Fed’s modest outlook for the pace of recovery, appeared to kindle investor anxiety and U.S. stocks sold off sharply on Thursday.

By Friday, major indices had recouped some losses, but finished lower for the week.

How does volatility impact your choices? When it comes to investing, people tend to have short memories. During bull markets, as stock values push higher, many investors want to increase their exposure to stocks. Why wouldn’t they? When volatility is relatively low, it can be difficult for investors to recall why they limited their exposure to higher risk assets.

Similarly, when a bear market arrives and volatility increases, investors often want to retreat to the safety of more conservative investments. After all, when volatility increases and stock values fluctuate dramatically, it can be difficult for investors to recall why they chose to invest any portion of their portfolios in stocks.

The fact is, investors often fall prey to a phenomenon known as recency bias. People tend to believe what is happening now will continue to occur in the future. It won’t. The economy tends to cycle from expansion to contraction and back to expansion. Stock markets tend to cycle from bull markets to bear markets and back to bull markets. Periods of high volatility tend to be followed by periods of low volatility.

We are all susceptible to recency bias and other behaviors that can undermine investment success. In their research paper, The Behavior of Individual Investors, Brad Barber and Terrance Odean concluded:

“The investors who inhabit the real world and those who populate academic models are distant cousins. In theory, investors hold well diversified portfolios and trade infrequently so as to minimize taxes and other investment costs. In practice, investors behave differently. They trade frequently and have perverse stock selection ability, incurring unnecessary investment costs and return losses. They tend to sell their winners and hold their losers, generating unnecessary tax liabilities. Many hold poorly diversified portfolios, resulting in unnecessarily high levels of diversifiable risk, and many are unduly influenced by media and past experience.”

If recent volatility has caused you to question your investment choices, please get in touch. Together we’ll review your goals, strategy, and portfolio allocation and suggest recommendations which support your goals and risk tolerance.

Weekly Focus – Think About It
“The psychology of individuals – warts and all – must be a central consideration in the formulation of any practical investing approach. The good news here is that others’ misbehavior will consistently and systematically create opportunities for you. The bad news is that you are prone to all of the same quirks and are just as likely, in the absence of strict adherence to the rules, to create the same opportunities for others.”
–Daniel Crosby, Psychologist and author

Investment advice offered through Research Financial Strategies, a registered investment advisor.
* This newsletter and commentary expressed should not be construed as investment advice.
* Government bonds and Treasury Bills are guaranteed by the U.S. government as to the timely payment of principal and interest and, if held to maturity, offer a fixed rate of return and fixed principal value.  However, the value of fund shares is not guaranteed and will fluctuate.
* Corporate bonds are considered higher risk than government bonds but normally offer a higher yield and are subject to market, interest rate and credit risk as well as additional risks based on the quality of issuer coupon rate, price, yield, maturity, and redemption features.
* The Standard & Poor’s 500 (S&P 500) is an unmanaged group of securities considered to be representative of the stock market in general. You cannot invest directly in this index.
* All indexes referenced are unmanaged. The volatility of indexes could be materially different from that of a client’s portfolio. Unmanaged index returns do not reflect fees, expenses, or sales charges. Index performance is not indicative of the performance of any investment. You cannot invest directly in an index.
* The Dow Jones Global ex-U.S. Index covers approximately 95% of the market capitalization of the 45 developed and emerging countries included in the Index.
* The 10-year Treasury Note represents debt owed by the United States Treasury to the public. Since the U.S. Government is seen as a risk-free borrower, investors use the 10-year Treasury Note as a benchmark for the long-term bond market.
* Gold represents the afternoon gold price as reported by the London Bullion Market Association. The gold price is set twice daily by the London Gold Fixing Company at 10:30 and 15:00 and is expressed in U.S. dollars per fine troy ounce.
* The Bloomberg Commodity Index is designed to be a highly liquid and diversified benchmark for the commodity futures market. The Index is composed of futures contracts on 19 physical commodities and was launched on July 14, 1998.
* The DJ Equity All REIT Total Return Index measures the total return performance of the equity subcategory of the Real Estate Investment Trust (REIT) industry as calculated by Dow Jones.
* The Dow Jones Industrial Average (DJIA), commonly known as “The Dow,” is an index representing 30 stock of companies maintained and reviewed by the editors of The Wall Street Journal.
* The NASDAQ Composite is an unmanaged index of securities traded on the NASDAQ system.
* International investing involves special risks such as currency fluctuation and political instability and may not be suitable for all investors. These risks are often heightened for investments in emerging markets.
* Yahoo! Finance is the source for any reference to the performance of an index between two specific periods.
* Opinions expressed are subject to change without notice and are not intended as investment advice or to predict future performance.
* Economic forecasts set forth may not develop as predicted and there can be no guarantee that strategies promoted will be successful.
* Past performance does not guarantee future results. Investing involves risk, including loss of principal.
* The foregoing information has been obtained from sources considered to be reliable, but we do not guarantee it is accurate or complete.
* There is no guarantee a diversified portfolio will enhance overall returns or outperform a non-diversified portfolio. Diversification does not protect against market risk.
* Asset allocation does not ensure a profit or protect against a loss.
* Consult your financial professional before making any investment decision.
* To unsubscribe from the Weekly Market Commentary please reply to this e-mail with “Unsubscribe” in the subject.

Investment advice offered through Research Financial Strategies, a registered investment advisor.

Sources:
https://www.barrons.com/articles/the-s-p-500-has-erased-its-2020-losses-the-feds-money-flood-suggests-room-to-run-51591704001 (or go to https://peakcontent.s3-us-west-2.amazonaws.com/+Peak+Commentary/06-15-20_Barrons-The_S_and_P_500_has_Erased_Its_2020_Losses-Footnote_1.pdf)
https://www.barrons.com/articles/as-the-nasdaq-crossed-10-000-microsoft-and-apple-celebrated-their-1-5-trillion-market-values-51592007219 (or go to https://peakcontent.s3-us-west-2.amazonaws.com/+Peak+Commentary/06-15-20_Barrons-As_Nasdaq_Soared_Past_10000_Apple_and_Microsoft_Celebrated_Their_Own_Unique_Era-Footnote_2.pdf)
https://www.barrons.com/articles/dow-jones-industrial-average-fell-1505-points-for-the-week-why-investors-shouldnt-fret-51592009424 (or go to https://peakcontent.s3-us-west-2.amazonaws.com/+Peak+Commentary/06-15-20_Barrons-The_Dow_Fell_1505_Points_for_the_Week-Why_Investors_Shouldnt_Fret-Footnote_3.pdf)
https://www.federalreserve.gov/monetarypolicy/files/fomcprojtabl20200610.pdf
https://www.federalreserve.gov/mediacenter/files/FOMCpresconf20200610.pdf
https://www.marketwatch.com/story/coronavirus-update-global-case-tally-tops-75-million-as-countries-push-ahead-toward-phased-reopenings-with-mixed-results-2020-06-12
https://www.schwab.com/resource-center/insights/content/is-recency-bias-influencing-your-investing-decisions
https://poseidon01.ssrn.com/delivery.php?ID=808067068026066075065107003116065091035019070001075003096097087108083009105029006002106039102104013096111073000017065065119101126080022051012091114094066075025041086029079007088098003098076118018069109120064011126101009017027089113111004084122&EXT=pdf
https://www.goodreads.com/quotes/tag/behavioral-finance

The employment report electrified U.S. stock markets last week.

American stock markets responded enthusiastically to the news U.S. unemployment was 13.3 percent in May. If it seems inexplicable double-digit unemployment would thrill investors, there is a reason. The unemployment rate in April was higher at 14.7 percent, and analysts had forecast the rate in May would jump to 19.1 percent. All in all, that makes 13.3 percent look pretty attractive.

There were some caveats.

First, “If the workers who were recorded as employed but absent from work due to ‘other reasons’… had been classified as unemployed on temporary layoff, the overall unemployment rate would have been about 3 percentage points higher than reported,” explained the Bureau of Labor Statistics (BLS). The same would have been true of April’s numbers, so it’s a wash. Month-to-month, the numbers dropped.

Second, there is more than one measure of unemployment. U3 measures people who are unemployed and seeking work. U6 includes unemployed, underemployed (part-time workers who want to be working full-time), and discouraged workers. It’s usually a higher number. The May Employment Summary Report showed U6 unemployment was 21.2 percent, down from 22.8 percent in April. That suggests about one-in-five Americans is not working as much as they would like to be.

The BLS wrote the improvement in unemployment reflected, “…a limited resumption of economic activity that had been curtailed in March and April due to the coronavirus (COVID-19) pandemic and efforts to contain it.” The biggest job gains were in leisure and hospitality, construction, education and health services, and retail trade.

The lower month-to-month numbers may be a sign the Paycheck Protection Program (PPP) worked:

“…give some credit to the government relief efforts, especially the [PPP], for bringing back jobs. The program gave relief to small businesses…through loans that would not have to be paid back if most of the money went to rehire and pay employees. PPP money had to be used right away, and a lot of it started hitting small businesses’ bank accounts in late April and early May, which ended up triggering a net gain of 2.5 million jobs in May,” reported Heather Long of The Washington Post.

Eurozone stocks rallied last week, too, after the European Central Bank increased its quantitative easing program and extended support to June 2021, reported Dhara Ranasinghe and Yoruk Bahceli of Reuters.

Major U.S. indices and U.S. Treasury yields finished the week higher.

Necessity is the mother of invention.
The silver lining of the COVID-19 cloud may be innovation. From healthcare to retail, people and companies have been identifying problems and finding ways to solve them:

• How much toilet paper is enough toilet paper? As consumers cleared shelves of toilet paper, a company in Germany developed a toilet paper calculator to help determine how much is enough. “A person with a stockpile of 10 rolls, who uses the typical amount of paper three times a day, should survive for 53 days…39 days longer than the recommended 14-day quarantine for those with symptoms,” reported Reuters.
• Ingenious respirator solutions. Early in the crisis a dearth of respirators handicapped healthcare workers’ ability to support patients with serious cases of COVID-19. Many companies developed alternatives. One company, “…built a simple but effective ventilator from a windshield wiper motor and a pliable [hand-operated resuscitator],” reported Eric Haseltine in Psychology Today.
• Where’s Waldo’s fever? An artificial intelligence firm that creates tools to detect threats of violence revamped its analytics software so thermal cameras can measure the temperature of a person’s forehead and send out an alarm when a fever is detected.
• Gear ‘Q’ would have loved. A California company held a month-long contest, asking participants to suggest practical devices for a COVID-19 world. Entries “…poured in, including a wrist-mounted disinfectant sprayer, half gloves for knuckle-pushing of buttons and a device that lets you open car doors without touching the handle, aimed at cab users,” reported Reuters.

Weekly Focus – Think About It
“A rock pile ceases to be a rock pile the moment a single man contemplates it, bearing within him the image of a cathedral.”
–Antoine de Saint-Exupéry, writer and poet

Investment advice offered through Research Financial Strategies, a registered investment advisor.
* This newsletter and commentary expressed should not be construed as investment advice.
* Government bonds and Treasury Bills are guaranteed by the U.S. government as to the timely payment of principal and interest and, if held to maturity, offer a fixed rate of return and fixed principal value.  However, the value of fund shares is not guaranteed and will fluctuate.
* Corporate bonds are considered higher risk than government bonds but normally offer a higher yield and are subject to market, interest rate and credit risk as well as additional risks based on the quality of issuer coupon rate, price, yield, maturity, and redemption features.
* The Standard & Poor’s 500 (S&P 500) is an unmanaged group of securities considered to be representative of the stock market in general. You cannot invest directly in this index.
* All indexes referenced are unmanaged. The volatility of indexes could be materially different from that of a client’s portfolio. Unmanaged index returns do not reflect fees, expenses, or sales charges. Index performance is not indicative of the performance of any investment. You cannot invest directly in an index.
* The Dow Jones Global ex-U.S. Index covers approximately 95% of the market capitalization of the 45 developed and emerging countries included in the Index.
* The 10-year Treasury Note represents debt owed by the United States Treasury to the public. Since the U.S. Government is seen as a risk-free borrower, investors use the 10-year Treasury Note as a benchmark for the long-term bond market.
* Gold represents the afternoon gold price as reported by the London Bullion Market Association. The gold price is set twice daily by the London Gold Fixing Company at 10:30 and 15:00 and is expressed in U.S. dollars per fine troy ounce.
* The Bloomberg Commodity Index is designed to be a highly liquid and diversified benchmark for the commodity futures market. The Index is composed of futures contracts on 19 physical commodities and was launched on July 14, 1998.
* The DJ Equity All REIT Total Return Index measures the total return performance of the equity subcategory of the Real Estate Investment Trust (REIT) industry as calculated by Dow Jones.
* The Dow Jones Industrial Average (DJIA), commonly known as “The Dow,” is an index representing 30 stock of companies maintained and reviewed by the editors of The Wall Street Journal.
* The NASDAQ Composite is an unmanaged index of securities traded on the NASDAQ system.
* International investing involves special risks such as currency fluctuation and political instability and may not be suitable for all investors. These risks are often heightened for investments in emerging markets.
* Yahoo! Finance is the source for any reference to the performance of an index between two specific periods.
* Opinions expressed are subject to change without notice and are not intended as investment advice or to predict future performance.
* Economic forecasts set forth may not develop as predicted and there can be no guarantee that strategies promoted will be successful.
* Past performance does not guarantee future results. Investing involves risk, including loss of principal.
* The foregoing information has been obtained from sources considered to be reliable, but we do not guarantee it is accurate or complete.
* There is no guarantee a diversified portfolio will enhance overall returns or outperform a non-diversified portfolio. Diversification does not protect against market risk.
* Asset allocation does not ensure a profit or protect against a loss.
* Consult your financial professional before making any investment decision.
* To unsubscribe from the Weekly Market Commentary please reply to this e-mail with “Unsubscribe” in the subject.

Investment advice offered through Research Financial Strategies, a registered investment advisor.

Sources:
https://www.barrons.com/articles/why-the-jobs-report-isnt-quite-as-good-as-it-seems-51591407548?mod=hp_DAY_6 (or go to https://peakcontent.s3-us-west-2.amazonaws.com/+Peak+Commentary/06-08-20_Barrons-Why_the_Jobs_Report_Isnt_Quite_as_Good_as_It_Seems-Footnote_1.pdf)
https://www.bls.gov/news.release/empsit.nr0.htm
https://www.investopedia.com/articles/investing/080415/true-unemployment-rate-u6-vs-u3.asp
https://www.bls.gov/news.release/empsit.t15.htm
https://www.washingtonpost.com/business/2020/06/05/unemployment-rate-wrong/ (or go to https://peakcontent.s3-us-west-2.amazonaws.com/+Peak+Commentary/06-08-20_TheWashingtonPost-Economists_Predicted_20_Percent_Unemployment_in_May-Footnote_5.pdf)
https://www.reuters.com/article/us-eurozone-markets-ecb/euro-hits-three-month-high-italys-bonds-rally-as-ecb-ramps-up-stimulus-idUSKBN23B2D6?il=0
https://www.barrons.com/market-data (or go to https://peakcontent.s3-us-west-2.amazonaws.com/+Peak+Commentary/06-08-20_Barrons-Market_Data-Footnote_7.pdf)
https://www.reuters.com/article/us-health-coronavirus-germany-toilet-pap/bought-enough-toilet-paper-check-this-online-calculator-idUSKBN21A1YM
https://www.psychologytoday.com/us/blog/long-fuse-big-bang/202004/7-great-innovations-responding-the-coronavirus
https://www.reuters.com/article/us-health-coronavirus-invention-insight/mother-of-invention-the-new-gadgets-dreamt-up-to-fight-coronavirus-idUSKBN21J4BG
https://www.goodreads.com/quotes/121975-a-rock-pile-ceases-to-be-a-rock-pile-the

Are those green shoots?

In economic terms, green shoots are signs of improvement. If you were paying close attention, you might have seen some in economic data released last week.

They weren’t apparent in the Bureau of Labor Statistics report on the United States economy. Gross domestic product (GDP), which is the value of all goods and services produced in our country, shrank by 5 percent during the first quarter of 2020. The contraction reflected lower spending by Americans and American businesses due to COVID-19. The Congressional Budget Office (CBO) estimated:

“…from March 21 to March 31, when many social distancing measures were in place, spending may have been down by almost 28 percent as a result of the pandemic; spending on accommodations and restaurants declined by 60 percent to 80 percent; and spending for some goods (such as clothing) dropped by similar amounts.”

Spoiler alert: The numbers for the second quarter are expected to be far worse. However, economic growth is expected to bounce as consumer spending, which accounts for two-thirds of GDP, resumes.

The green shoots were found in unemployment. As businesses reopened and shelter-in-place orders eased, the U.S. unemployment rate dropped to 14.5 percent during the week of May 16 from 17.1 percent the previous week, according to the Department of Labor.

Green shoots were also sprouting from the University of Michigan’s May Consumer Sentiment Survey, which reported “…a growing number of consumers expected the economy to improve from its recent standstill…” The Index of Consumer Sentiment ticked higher from April to May.

The United States experienced highs and lows last week. A NASA public-private partnership launched the Dragon capsule into orbit. Its astronauts are headed for the International Space Station. Meanwhile, down on Earth, protests for justice in the death of George Floyd devolved into rioting.

Major U.S. indices finished the week higher.

FYI: It’s June! One side effect of COVID-19 quarantine is losing track of days. When routines are disrupted and recurring activities that distinguish one day from the next are discontinued, it can be difficult to know whether it’s Monday or Thursday.

Fortunately, the United States has enough national holidays to clearly delineate one day from the next. Here is a list of some June holidays to help you keep track of days:

June 1: World Reef Awareness Day
June 2: National Bubba Day
June 3: National Running Day
June 4: National SAFE Day
June 5: National Doughnut Day
June 6: D-Day – remembering the day Allied troops landed on the beaches of Normandy
June 7: National Cancer Survivor’s Day
June 8: National Best Friends Day
June 9: National Earl Day
June 10: National Iced Tea Day
June 11: National Making Life Beautiful Day
June 12: National Loving Day
June 13: National Kitchen Klutzes of America Day
June 14: National Flag Day and the Birthday of the U.S. Army
June 15: National Smile Power Day
June 16: National Fudge Day
June 17: National Eat Your Vegetables Day
June 18: National Go Fishing Day
June 19: Juneteenth – commemorating the end of slavery
June 20: Summer Solstice – the start of summer in the Northern Hemisphere
June 21: Father’s Day – celebrating dear old dad
June 22: National Chocolate Eclair Day
June 23: National Pink Day
June 24: National Parchment Day
June 25: National Leon Day
June 26: Take Your Dog to Work Day
June 27: National PTSD Awareness Day
June 28: National Logistics Day
June 29: National Waffle Iron Day
June 30: Social Media Day (As if that weren’t every day!)

y the end of June, we should be on our way to a new normal and able to use the coronavirus lockdown as a point of reference for tracking events.

Weekly Focus – Think About It
“Whenever any American’s life is taken by another American unnecessarily – whether it is done in the name of the law or in the defiance of law, by one man or a gang, in cold blood or in passion, in an attack of violence or in response to violence – whenever we tear at the fabric of life which another man has painfully and clumsily woven for himself and his children, the whole nation is degraded.”
–Robert Kennedy, Former U.S. Attorney General

Investment advice offered through Research Financial Strategies, a registered investment advisor.
* This newsletter and commentary expressed should not be construed as investment advice.
* Government bonds and Treasury Bills are guaranteed by the U.S. government as to the timely payment of principal and interest and, if held to maturity, offer a fixed rate of return and fixed principal value.  However, the value of fund shares is not guaranteed and will fluctuate.
* Corporate bonds are considered higher risk than government bonds but normally offer a higher yield and are subject to market, interest rate and credit risk as well as additional risks based on the quality of issuer coupon rate, price, yield, maturity, and redemption features.
* The Standard & Poor’s 500 (S&P 500) is an unmanaged group of securities considered to be representative of the stock market in general. You cannot invest directly in this index.
* All indexes referenced are unmanaged. The volatility of indexes could be materially different from that of a client’s portfolio. Unmanaged index returns do not reflect fees, expenses, or sales charges. Index performance is not indicative of the performance of any investment. You cannot invest directly in an index.
* The Dow Jones Global ex-U.S. Index covers approximately 95% of the market capitalization of the 45 developed and emerging countries included in the Index.
* The 10-year Treasury Note represents debt owed by the United States Treasury to the public. Since the U.S. Government is seen as a risk-free borrower, investors use the 10-year Treasury Note as a benchmark for the long-term bond market.
* Gold represents the afternoon gold price as reported by the London Bullion Market Association. The gold price is set twice daily by the London Gold Fixing Company at 10:30 and 15:00 and is expressed in U.S. dollars per fine troy ounce.
* The Bloomberg Commodity Index is designed to be a highly liquid and diversified benchmark for the commodity futures market. The Index is composed of futures contracts on 19 physical commodities and was launched on July 14, 1998.
* The DJ Equity All REIT Total Return Index measures the total return performance of the equity subcategory of the Real Estate Investment Trust (REIT) industry as calculated by Dow Jones.
* The Dow Jones Industrial Average (DJIA), commonly known as “The Dow,” is an index representing 30 stock of companies maintained and reviewed by the editors of The Wall Street Journal.
* The NASDAQ Composite is an unmanaged index of securities traded on the NASDAQ system.
* International investing involves special risks such as currency fluctuation and political instability and may not be suitable for all investors. These risks are often heightened for investments in emerging markets.
* Yahoo! Finance is the source for any reference to the performance of an index between two specific periods.
* Opinions expressed are subject to change without notice and are not intended as investment advice or to predict future performance.
* Economic forecasts set forth may not develop as predicted and there can be no guarantee that strategies promoted will be successful.
* Past performance does not guarantee future results. Investing involves risk, including loss of principal.
* The foregoing information has been obtained from sources considered to be reliable, but we do not guarantee it is accurate or complete.
* There is no guarantee a diversified portfolio will enhance overall returns or outperform a non-diversified portfolio. Diversification does not protect against market risk.
* Asset allocation does not ensure a profit or protect against a loss.
* Consult your financial professional before making any investment decision.
* To unsubscribe from the Weekly Market Commentary please reply to this e-mail with “Unsubscribe” in the subject.

Investment advice offered through Research Financial Strategies, a registered investment advisor.

Sources:
https://www.bea.gov/sites/default/files/2020-05/gdp1q20_2nd_0.pdf
https://www.cbo.gov/publication/56368
https://www.dol.gov/ui/data.pdf
http://www.sca.isr.umich.edu (or go to https://peakcontent.s3-us-west-2.amazonaws.com/+Peak+Commentary/06-01-20_UnivofMich-Consumer_Sentiment_Survey-Footnote_4.pdf)
https://www.nasa.gov/press-release/nasa-astronauts-launch-from-america-in-historic-test-flight-of-spacex-crew-dragon
https://www.washingtonpost.com/nation/2020/05/31/george-floyd-protests-live-updates/
https://www.barrons.com/market-data (or go to https://peakcontent.s3-us-west-2.amazonaws.com/+Peak+Commentary/06-01-20_Barrons-Market_Data-Footnote_7.pdf)
https://www.huffpost.com/entry/psychology-time-quarantine_l_5e9e2095c5b6b2e5b836de6d
https://nationaldaycalendar.com/june/
https://www.jfklibrary.org/learn/about-jfk/the-kennedy-family/robert-f-kennedy

It was a good week for stock markets in the United States, but there was trouble in Asia.

U.S. stock markets rallied last week. The Dow Jones Industrial Average, Standard & Poor’s 500 Index, and Nasdaq Composite all gained more than 3 percent, reported Ben Levisohn of Barron’s.

Investors had plenty of fuel for optimism early in the week. On Sunday, Federal Reserve Chair Jerome Powell struck a positive tone during his 60 Minutes interview stating, “The big thing we have to avoid…is a second wave of the virus. But if we do, then the economy can continue to recover. We’ll see GDP move back up after the very low numbers of this quarter. We’ll see unemployment come down. But I think though it’ll be a while before we really feel well recovered.”

On Monday, there was news early testing of a potential vaccine had delivered promising results, and the vaccine company’s stock shot higher. The report was tarnished when top executives sold shares the next day, and a respected medical website indicated the published results meant little, reported John Authers in Bloomberg Opinion.

Positive momentum slowed later in the week when China indicated it will impose national security laws on Hong Kong. Reshma Kapadia of Barron’s reported, “While the risks have ratcheted higher, it isn’t clear yet whether the new security laws will destroy Hong Kong’s ability to act as a financial center. What that could mean for investors will probably play out over the next couple of months.”

Hong Kong’s Hang Seng index closed down 5.6 percent, reported Financial Times (FT). That was the index’s worst one-day performance in almost five years.

China’s leadership also declined to set a gross domestic product (GDP) target for the first time ever. GDP is the value of all goods and services produced in a nation. The decision led to a decline in mainland China’s CSI 300 index of Shanghai and Shenzhen-listed stocks, reported FT.

How important are small businesses?
In April, the Federal Reserve Bank of New York (FRBNY) surveyed U.S. small businesses. It reported, late in 2019, before the coronavirus crisis, 35 percent were healthy, 35 percent were stable, 23 percent were at risk, and 6 percent were in distress.

Having a preponderance of healthy and stable small companies is a positive economic sign because, as Lisa Beilfuss of Barron’s explained, small companies:

• Employ about 50 percent of American workers
• Produce about 50 percent of U.S. GDP
• Generate 40 percent of total business revenue

Simply put, small businesses are an essential part of the American economy.

The FRBNY survey also noted few small businesses had deep cash reserves. In fact, it estimated just one in five healthy small companies could survive a two-month revenue loss. In such circumstances, “A majority of small businesses would be likely to reduce their workforce and operations, or delay payments. Many firms would rely on personal funds or debt to bridge the gap.”

As you might imagine (and may have experienced), the coronavirus crisis has exacted a heavy toll on small businesses. Forty-three percent were temporarily closed by April 2020, according to a survey conducted by the National Bureau of Economic Research (NBER). Others had modified operations to meet social distancing and other COVID-19 safety guidelines.

In an effort to help small businesses, Congress, the President, and the Small Business Administration have passed fiscal stimulus measures. The Federal Reserve is providing monetary stimulus. Despite these efforts, the future of small companies remains uncertain.

Byrne Hobart of The Diff, a newsletter that tracks inflection points in finance and technology, believes diverse outcomes are possible:

“The pessimistic one is front-end corporatization: small businesses just evaporate, their real estate is taken over by big companies, and (some of) their employees find new jobs at these companies…Here’s the good one. Those same local businesses are running down their cash reserves, but lenders are banging down the door with a crazy offer: borrow enough to meet payroll now, pay nothing – until business starts coming back…[Lenders get] more involved in the borrower’s business – get them good bookkeeping software and a modern point-of-sale system. Band together a bunch of borrowers and start negotiating with suppliers and landlords. In short, use software economics to give small businesses the same economies of scale that large ones already benefit from.”

It’s possible we could see both situations occur.

Weekly Focus – Think About It
“Now the commencement speakers will typically also wish you good luck and extend good wishes to you. I will not do that, and I’ll tell you why. From time to time in the years to come, I hope you will be treated unfairly, so that you will come to know the value of justice…I wish you bad luck, again, from time to time so that you will be conscious of the role of chance in life and understand that your success is not completely deserved and that the failure of others is not completely deserved either…Whether I wish these things or not, they’re going to happen. And whether you benefit from them or not will depend upon your ability to see the message in your misfortunes.”
–John Roberts, U.S. Supreme Court Chief Justice

Investment advice offered through Research Financial Strategies, a registered investment advisor.
* This newsletter and commentary expressed should not be construed as investment advice.
* Government bonds and Treasury Bills are guaranteed by the U.S. government as to the timely payment of principal and interest and, if held to maturity, offer a fixed rate of return and fixed principal value.  However, the value of fund shares is not guaranteed and will fluctuate.
* Corporate bonds are considered higher risk than government bonds but normally offer a higher yield and are subject to market, interest rate and credit risk as well as additional risks based on the quality of issuer coupon rate, price, yield, maturity, and redemption features.
* The Standard & Poor’s 500 (S&P 500) is an unmanaged group of securities considered to be representative of the stock market in general. You cannot invest directly in this index.
* All indexes referenced are unmanaged. The volatility of indexes could be materially different from that of a client’s portfolio. Unmanaged index returns do not reflect fees, expenses, or sales charges. Index performance is not indicative of the performance of any investment. You cannot invest directly in an index.
* The Dow Jones Global ex-U.S. Index covers approximately 95% of the market capitalization of the 45 developed and emerging countries included in the Index.
* The 10-year Treasury Note represents debt owed by the United States Treasury to the public. Since the U.S. Government is seen as a risk-free borrower, investors use the 10-year Treasury Note as a benchmark for the long-term bond market.
* Gold represents the afternoon gold price as reported by the London Bullion Market Association. The gold price is set twice daily by the London Gold Fixing Company at 10:30 and 15:00 and is expressed in U.S. dollars per fine troy ounce.
* The Bloomberg Commodity Index is designed to be a highly liquid and diversified benchmark for the commodity futures market. The Index is composed of futures contracts on 19 physical commodities and was launched on July 14, 1998.
* The DJ Equity All REIT Total Return Index measures the total return performance of the equity subcategory of the Real Estate Investment Trust (REIT) industry as calculated by Dow Jones.
* The Dow Jones Industrial Average (DJIA), commonly known as “The Dow,” is an index representing 30 stock of companies maintained and reviewed by the editors of The Wall Street Journal.
* The NASDAQ Composite is an unmanaged index of securities traded on the NASDAQ system.
* International investing involves special risks such as currency fluctuation and political instability and may not be suitable for all investors. These risks are often heightened for investments in emerging markets.
* Yahoo! Finance is the source for any reference to the performance of an index between two specific periods.
* Opinions expressed are subject to change without notice and are not intended as investment advice or to predict future performance.
* Economic forecasts set forth may not develop as predicted and there can be no guarantee that strategies promoted will be successful.
* Past performance does not guarantee future results. Investing involves risk, including loss of principal.
* The foregoing information has been obtained from sources considered to be reliable, but we do not guarantee it is accurate or complete.
* There is no guarantee a diversified portfolio will enhance overall returns or outperform a non-diversified portfolio. Diversification does not protect against market risk.
* Asset allocation does not ensure a profit or protect against a loss.
* Consult your financial professional before making any investment decision.
* To unsubscribe from the Weekly Market Commentary please reply to this e-mail with “Unsubscribe” in the subject.

Investment advice offered through Research Financial Strategies, a registered investment advisor.

Sources:
https://www.barrons.com/articles/the-stock-market-just-had-a-great-week-why-its-time-to-worry-51590190696?refsec=the-trader (or go to https://peakcontent.s3-us-west-2.amazonaws.com/+Peak+Commentary/05-26-20_Barrons-The_Stock_Market_Just_had_a_Great_Week-Why_Its_Time_to_Worry-Footnote_1.pdf)
https://www.cbsnews.com/news/full-transcript-fed-chair-jerome-powell-60-minutes-interview-economic-recovery-from-coronavirus-pandemic/
https://www.bloomberg.com/opinion/articles/2020-05-20/moderna-vaccine-fiasco-shows-power-of-stock-market-narratives
https://www.barrons.com/articles/chinas-hard-line-on-hong-kong-what-it-means-for-u-s-investors-51590166402 (or go to https://peakcontent.s3-us-west-2.amazonaws.com/+Peak+Commentary/05-26-20_Barrons-Chinas_Hard_Line_on_Hong_Kong_Could_Mean_Big_Changes_for_Investors-Footnote_4.pdf)
https://www.ft.com/content/39a589dc-0af8-4ee7-ad92-b19df91cb06b (or go to https://peakcontent.s3-us-west-2.amazonaws.com/+Peak+Commentary/05-26-20_FinancialTimes-Stocks_Stumble_as_Investors_Contend_with_Tension_Over_Hong_Kong-Footnote_5.pdf)
https://www.fedsmallbusiness.org/medialibrary/FedSmallBusiness/files/2020/covid-brief
https://www.barrons.com/articles/americas-small-businesses-are-sputtering-why-that-matters-for-the-economy-51590141602?mod=hp_HERO (or go to https://peakcontent.s3-us-west-2.amazonaws.com/+Peak+Commentary/05-26-20_Barrons-Small_Businesses_are_the_Key_to_Reviving_the_Economy-They_Face_an_Existential_Threat-Footnote_7.pdf)
https://www.nber.org/papers/w26989.pdf (Abstract and page 4)
https://www.cnbc.com/2020/04/13/coronavirus-update-here-is-everything-the-fed-has-done-to-save-the-economy.html
https://diff.substack.com (or go to https://peakcontent.s3-us-west-2.amazonaws.com/+Peak+Commentary/05-26-20_TheDiff-V-Shaped_Recovery_for_Me_L-Shaped_for_Thee-The_Aftermath-Footnote_10.pdf)
https://time.com/4845150/chief-justice-john-roberts-commencement-speech-transcript/