SHUTDOWN SHOWDOWN
A new government shutdown has arrived as Congress and the President remain at odds over funding. While some public services will pause temporarily, essential programs like Social Security and Medicare will continue. History shows that when Washington eventually resolves these standoffs, the economy tends to rebound quickly—reminding us of the underlying resilience of the U.S. workforce and business community.
Each week of closure may trim a fraction off GDP growth, yet the broader economy remains steady, supported by strong consumer spending and corporate profitability. The U.S. national debt has reached a record $37.4 trillion, but America’s credit remains anchored by its unmatched innovation, productivity, and global demand for U.S. Treasury securities.
The Federal Reserve, now lowering rates to 4–4.25%, is cautiously balancing inflation and employment. Long-term yields remain higher—a sign that investors expect continued growth and are seeking returns in a dynamic market environment. Gradual rate cuts ahead could provide a healthy boost to both hiring and housing.
Meanwhile, the Magnificent Seven tech leaders continue to power markets with extraordinary free cash flow, high profitability, and unmatched innovation. Their leadership fuels both optimism and momentum across sectors—from artificial intelligence to cloud infrastructure.
Despite political turbulence, the American spirit endures. Even in times of disagreement, progress continues through entrepreneurship, compassion, and community strength. Consumer confidence, wage growth, and productivity remain bright spots heading into year-end.
The holiday season is approaching quickly—a time to focus on connection, gratitude, and joy. Whether through giving, traveling, or simply slowing down, it’s an opportunity to celebrate what unites us.
As we look ahead, it is important to carry with us the belief that progress is always possible when we face challenges with courage and imagination. The future will be shaped not by what holds us back, but by the ideas and actions that move us forward. As Albert Einstein once said, “Learn from yesterday, live for today, hope for tomorrow.”
THE BEST IS YET TO BE!
ENJOY AUTUMN
As always,
Seymour W. Zises
