The 2022 Outlook Is For Wage Inflation, Slowing Earnings Fed Tightening But Strong GDP Growth; Fritz Meyer's CE Class, Feb. 2022

February 2022 began with substantial momentum in the economic releases: LEI was up sharply again in December; January jobs and income growth was strong; household net worth is at a record high; home construction is booming; autos sales are rebounding.

Following a sensational +29% gain last year, Wall Street is penciling in a meager +4% gain on the S&P 500 for 2022. Strategists are forecasting slowing earnings growth and P/E ratio compression ahead.  History shows that stocks have trended higher even as the Fed raised rates. The yield curve remains steep.

Despite the 7.5% January CPI, investors believe that inflation will settle back down, as reflected in the 10-year Treasury breakeven rate. “Stagflation” and “hyperinflation” – unsettling terms harking back to 14% inflation in 1980, are in the financial press. We’ll analyze the unique drivers of the Great Inflation of 1965-82 – which are not present today.

Despite high P/E ratios, the Fed’s valuation model shows stocks are reasonably valued compared to bond yields. Bond yields are key to the stock market’s valuation in that today’s lowest bond yields in history – and negative inflation-adjusted returns – make the stock market’s earnings yield look attractive, even at these levels.

In this month’s webinar we’ll cover these topics and more. We’ll update many of the important economic statistics and rising earnings forecasts. And we’ll compare Wall Street strategists’ 2021 tactical sector calls with actual performance – a dismal performance once again.
 

This webinar is eligible for one hour of CE credit towards the CIMA® and CPWA® certifications, CFP® CE, PACE credit toward the CLU® and ChFC® designations, and live CPA CPE credit.

Free Offer Is About To Expire On A4A's 12 Credit Financial Counseling CE Course

If you missed the financial counseling course, it's not too late take it for free. Starting in the next two to four weeks, Frank Murtha's highly-rated 12-class Certified Financial Counselor Course will no longer be free to A4A members. 

A4A had peviously announced it would start charging for the course on October 6, but gave A4A members extra time to complete the highly-praised CE course. 

Successfully completing all 12 classes earns the Certified Financial Counselor^™ designation and digital certificate of completion. 

Frank Murtha, Ph.D., received an average rating of 9.7 from the hundreds of participant ratings. 

You can take the 12 classes on demand, if you are an A4A member. Learn more about the financial counseling course before the new pricing goes into effect.