Virus?... What virus?Submitted by Group W - Investment Management on May 21st, 2021
As we all know, the coronavirus remains a threat to the wellbeing of our citizenry despite the successful rollout of mass-immunization programs. New cases are still cropping up all over the globe, though at a slower pace than a few months ago. The virus is certainly still with us.
But no one told the U.S. economy. Business seems to be booming. On a recent drive from Southern California to Montana, your investment manager witnessed widespread commercial activity in all six states that were traversed. It is uncanny. New homes, new businesses seemed to be sprouting up everywhere, and the number of trucks on the highway was extraordinary. Granted, this is just anecdotal evidence, but projections by top economists appear to corroborate the observation. The Federal Reserve currently projects the U.S. economy to grow by 6.5% this year with unemployment dropping to 4.5%. These are impressive numbers.
It is hard to know precisely what conclusions we should draw from this, but one thing is certain: America is an amazing economic engine, even in difficult times. As investors, we should stay the course.
1 April 2021 Group W Investment Management LLC