When 2019 began, the U.S. stock market had just hit the bottom of a 20% correction. An escalating trade war and rising interest rate worries were top of mind, and predictions of a looming recession were becoming more common. Instead, the U.S. economy continued to grow, albeit slowly, as unemployment remained low, wages grew, corporate earnings were positive, and the S&P 500 Index finished the year returning over 31%. In July, the United States entered its longest economic expansion in history—breaking the previous 120 month record set from March 1991 to March 2001.

Looking ahead to 2020, our outlook remains positive as we anticipate continued strength of the U.S. economy driven by plentiful jobs and rising wages. We are optimistic about the technology driven innovation, growth, and efficiency across the economy. Newly achieved energy independence from domestic oil production and economically competitive renewable energy installations will give our economy unprecedented flexibility. While there is plenty to look forward to during 2020, we will be mindful of elevated valuations across all asset classes and potential disruptions from ongoing trade wars, political disputes, and the upcoming election.