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Investment Update – August 2020

Stock prices started the month strongly thanks to good early results from COVID-19 vaccine trials, better-than-expected employment reports, and higher-than-anticipated manufacturing activity. In the US, despite multiple States reporting increased COVID infections, stocks continued to climb, especially in large technology. American indices are now back in positive territory for the current year. These behemoth companies,

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Recession

During 2020 the world economy shifted from a position of strong growth to severe global recession.  Although this is clearly a significant concern, recessions are a normal part of the economic cycle so it is important to look at this in the right context to understand what is occurring now and what might happen next.

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