Fed Meeting

We think the Fed is done raising rates. As such, this next meeting on September 20 will be a non-event with rates remaining unchanged at 5.25%. Oil prices have come down significantly but probably too recently to have much impact on near-term inflation reports. Economic growth has slowed, which will start to show up in reports. Housing starts should continue to taper off and once builders finish some recently started homes, construction industry employment should begin to recede. The Homebuilders Survey has declined from 42 in June and a revised 33 in August to 30 in September.

Strategy Update: today we added another 20% to an inverse S&P 500 Fund in the Dynamic US Equity Strategy. This brings the total to 40%, our maximum allowed for this strategy. Performance has compared favorably to the Balanced Index Benchmark over the last 2 months (see chart). For more information on strategy investing visit www.windriveradvisors.com/strategies.