Below is a synopsis of this investment report:
- Stocks fell sharply last week after Federal Reserve Chair Janet Yellen and her fellow policymakers raised concerns about “substantially stretched valuations” in some sectors.
- Small cap stocks in the social media and biotech sectors were hit the hardest as some lost over 20% of their value within minutes of the Fed’s comments made public.
- Given the Fed’s abysmal track record on equity forecasting, we strongly urge investors to ignore all equity market commentary from them and focus more on the fundamentals of our economy.
For full access to the investment report titled “The Fed Does Not Manage Money”, please contact us.