News

Currently, Chris and Ken of Davis Financial fund see several negative as well as several positive trends affecting the various financial sectors. On the negative side, today's inverted yield curve is providing a formidable headwind for the earnings of banks and other spread lenders by compressing their net interest margin. On the positive side, America continues to be an adaptable and dynamic economic powerhouse with a GDP approaching $12 trillion or almost 25% of global GDP. One critical economic indicator to monitor closely is job creation and over the past three years more than five million new jobs have been created. Significantly, there are approximately 146 million Americans working today and 70% of Americans own their homes. Also, U.S. household net worth is now approximately $54 trillion, up from $25 trillion just 10 years ago. These are just a few of many enormously important factors behind the long-term robustness of the American economy.