The U.S. economy continues to show strength with an unemployment rate touching 3.4%, a level not seen since 1969!

How long will the Fed remain tight? How will a China be reopening effect the global economy? What will Putin do in light of a long-drawn-out war? Is our U.S. debt at $31 trillion too high?

2022 marked only the fourth year since 1929 where both stocks and bonds finished negative, and the first time since 1969.

As this is traditionally "the season to be jolly," markets are likely to be fairly steady into the year end.

How did we get here? The rally out of the Covid downturn was euphoric in many areas, like hyper growths stocks, cryptos, SPACs, and private equity investments. The Fed prolonged the party in 2021, as did foreign central banks which continued to buy bonds, repress yields, and encourage speculators.

The S&P 500 rallied mightily off the June 17th bottom of 3,636 all the way up to 4,320 on August 16th; only to succumb to profit taking and Fed Chair Powell's sobering Jackson Hole, WY speech on inflation fighting priorities. In 15 trading days half of that rally was lost as reality set in that the Fed is not about to pivot to more easy money policy any time soon.