Stoltzfus: Guard your growth and own growthier value

Market Outlook - The market is on pace to open at records, with a generally bullish outlook on stocks [1] - Diversification is key, with a preference for owning growthier value and "garbier" growth stocks, focusing on dividend growers rather than just payers [2] - The US market is favored, with an overweight position, but exposure to developed international and emerging markets is maintained [2] - Equities are viewed favorably, with a suggestion to overweight equities and have some exposure to fixed income for traditional diversification [3] Sector Focus - Consumer discretionary is a sector of interest, highlighted by Nike's earnings [4] - Despite Nike beating low earnings expectations, issues like a billion-dollar tariff expense and supply chain problems are flagged, with sales expected to be lower [5] - The American consumer is seen as remarkably resilient due to strong job market, supporting the consumer discretionary sector [6] Monetary Policy & Risk - Concerns about a "shadow Fed president" are considered less significant, as diverse opinions already exist within the Federal Reserve [7] - The Federal Reserve's independence is crucial, and potential commentary from other channels should be viewed in light of Jerome Powell's stance [8] - Expectation of rate cuts, potentially starting in September and with another 100 basis points (1%) removed by the end of the year from the monetary policy elevation since March 2022 [8][9]