Memorial Day and the start of summer has finally arrived! It is important to take a moment to honor and reflect on the military personnel who have served our country and fought to protect the freedoms we so proudly share. Without those sacrifices, this country and its wide array of beliefs and liberties would not exist in the manner to which we are accustomed. Those who have fought to protect these ideals deserve to be recognized and honored.
I’ve been receiving more emails and calls this week as it relates to the impending debt ceiling discussions and deadline. While we must sit and sift through the ongoing “noise”, I continually point to the best possible real gauge of the situation, the stock market. I honestly believe that if there was really an impending crisis on our doorstep, the proverbial smart money would have already exited stage left. It’s just not happening. In fact, it’s been quite the opposite. We have been seeing a very resilient market throughout the last few weeks. Of course, we need to remain diligent and pray that our elected leaders will do what needs to be done, but both sides know that any good crisis comes with opportunity. I remain steadfast in my opinion that a deal will get done, it will just come in the closing hours. I know it can be frustrating and unnerving, but we have been here before and we certainly will be here again in the future. The real issue is that any deal that is reached will come at a cost with a payment due now or more than likely in the future. The inevitability of higher taxes is a near certainty to balance the debt load with which this country is strapped. My advice is to remain patient but invest wisely with an eye on tomorrow. In that vein, it’s never too early to save for your future and there is no better vehicle than a Roth IRA for the TAX-FREE growth this vehicle provides.
The artificial intelligence (AI) investing wave saw another strong boost this week with the earnings report delivered by Nvidia. They exceeded their earnings expectations by a wide margin and delivered a strong outlook for the remainder of the year. This helped to propel tech stocks higher over the last part of the week. Technology stocks remain the darling so far this year after being a drag on portfolios in 2022. The AI world is making inroads in more ways than we could have imagined, and the investing world has taken notice. This has been a breath of fresh air in an otherwise slowing economy. We have said this before but will reiterate, the consumer continues to spend, the patterns are simply shifting. A headline that grabbed my attention late on Thursday read, “Ford EVs will use Tesla charging tech in surprise partnership between rival automakers.” With Tesla and Ford entrenched as the #1 and #2 in EV sales currently, this certainly comes as a surprise. Ford EVs will be able to charge via an adapter to the more than 12,000 Tesla Supercharging stations. This is a significant announcement to the EV market and further enhances the desire for a single charging protocol throughout the U.S. The growing need for a unified charging infrastructure network just inched one step closer. Kudos to these rivals for finding a way to work together to solve a problem that benefits us all for the future.
As you depart for your long weekend adventures and family fun, remember those near and dear to our daily lives. Keep our service people and veterans in your hearts and minds as we enjoy the freedoms they have worked so hard to defend. I for one am thankful!
Christopher E. Wasson, CFP®
Mosaic Asset Partners, LLC
1122 Kenilworth Drive, Suite 310
Towson, MD 21204
410.821.0089 fax 410.821.5993
Securities offered through Kestra Investment Services, LLC (Kestra IS), member FINRA/SIPC. Investment advisory services offered through Kestra Advisory Services, LLC (Kestra AS), an affiliate of Kestra IS. Mosaic Asset Partners, LLC is not affiliated with Kestra IS or Kestra AS. Investor Disclosures: https://www.kestrafinancial.com/disclosures
The opinions expressed in this commentary are those of the author and may not necessarily reflect those held by Kestra IS or Kestra AS. The material is for informational purposes only. It represents an assessment of the market environment at a specific point in time and is not intended to be a forecast of future events, or a guarantee of future results. It is not guaranteed by Kestra IS or Kestra AS for accuracy, does not purport to be complete and is not intended to be used as a primary basis for investment decisions. It should also not be construed as advice meeting the particular investment needs of any investor. Neither the information presented nor any opinion expressed constitutes a solicitation for the purchase or sale of any security.