As we wave goodbye to 2025 and look back on the final quarter, it’s hard to believe some of the events that occurred and also that they occurred with very little concern from market participants.
Longest full government shut down finished up in October.
As mentioned at www.street-cents.com a full government shut down amounts to .04% of GDP by the day. With a shutdown of the length that just occurred this is a significant part of annualized economic growth, a.k.a. GDP. Market participants happily yawned and moved onto other items.
The US dollar Under pressure
Those that traveled overseas may have felt items are more expensive during their travels. While many pundits called out outlandish theories, the primary reason for the lower dollar not only in Q4, but throughout the year, was the expectations of lower interest rates in the United States. While a head wind for our international travels it is a tail wind for our international investments.
FOMC- Jerome Powell it’s chair for now, lowers rates, stops funds then starts funds.
The FOMC, while lowering rates a bit throughout the year, in December lowered rates, one more time, but even more importantly, finished their QT (quantitative tightening or the sucking of money out of the bank system) and a week later set sights to pump money into the system at the tune of $40 billion a month for the RMP a new term -Reserve Management Purchases The net effect of all the fancy acronyms is a stimulus posture for the US economy
Speaking of the federal reserve, looking forward, we most certainly expect a new federal reserve chairman. With that new chief, lower short-term rates quickly. As mentioned in our fall newsletter, this along with other measures could be a direct incentive to help kick start transactions in residential home volume.
In closing, we have included our Private Policy notice and also want to offer our Customer Relationship Summary (CRS form) and our ADV should you wish please request a copy of these please reach out.
J.K. Financial, Inc.
PRIVACY POLICY NOTICE
Our Promise to You
As a client of J.K. Financial, Inc., you share both personal and financial information
with us. Your privacy is important to us, and we are dedicated to safeguarding
your personal and financial information.
Information Provided by Clients
In the normal course of doing business, we typically obtain the following nonpublic
personal information about our clients:
Personal information regarding our clients’ identity such as name, address
and social security number;
Information regarding securities transactions effected by us; and
Client financial information such as net-worth, assets, income, bank account
information and account balances.
How We Manage and Protect Your Personal Information
We do not sell information about current or former clients to third parties, nor is it
our practice to disclose such information to third parties unless requested to do so
by a client or client representative or, if necessary, in order to process a transaction,
service an account or as permitted by law. Additionally, we may share information
with outside companies that perform administrative services for us. However, our
contractual arrangements with these service providers require them to treat your
information as confidential.
In order to protect your personal information, we maintain physical, electronic and
procedural safeguards to protect your personal information. Our Privacy Policy
restricts the use of client information and requires that it be held in strict
confidence.
Client Notifications
We are required by law to annually provide a notice describing our privacy policy.
In addition, we will inform you promptly if there are changes to our policy.
Please do not hesitate to contact us with questions about this notice.
John A. Kvale CFA, CFP
AI Content Authenticity: All of the following text content has been completed by myself and has not been edited or created by AI. Occasionally we do use AI for images and will note when appropriate.
Founder of J.K. Financial, Inc.
A Dallas Texas based fee only
Financial Planning Total Wealth
Management firm.
