Edward Yardeni once worked for Prudential Securities (now defunct). Yardeni reminded and instructed stock brokers about many economic patterns. One that sticks with me is his observation of “rolling recessions”.

Recessions happen in strong economies; we get more of them in a weak economy. When rolling recessions happen in all economic sectors, we have an economic pandemic. The world gets a runny nose.

Despite worry, consternation, and fidgeting when watching Bloomberg news, there are metropolitan areas that show life, vibrance, innovation, employment, and hope. The downside is that there are metropolitan areas where there’s inactivity, darkness, boredom, unemployment, and despair.

Everyone does, in my opinion, possess hopeful opportunity. For reasons somewhat inexplicable, not everyone catches or wears the “gold ring”.

Alan Berube, Senior Fellow at the Brookings Institution, reminds us that there are 366 metropolitan areas. We are not, as Berube says, a single economy. We are “a nation of 366 different economies, fueled by varying industries.”

Given the diversity, the time of recovery will differ from one metropolitan area to another.

Utopia has all 366 metropolitan areas productive and growing. Unfortunately, utopia is no place.

And there’s joy at Fenway as  Boston Puts It To the Yankees.

If….you love the Yankees, I understand.

Every morning after a Red Sox game, Lisa’s grandmother tells me about the game. I already know what she tells me, but she gets quite excited at age 95.

She says, “Big Poppie (David Ortiz) clocked his third home run, and things are looking up for him” and “the stock market”, I add.

OK; not so fast, Randall. We have a lot of ground to travel before returning to solid ground. No banners hanging over Wall Street yet.

Just the same, the news is better.

Market analysts support viewpoints with statistics. Most of us find the data dreary. We scan the dull parts faster than a furtive glance.

Baseball stats dull the sound of the bat, the “wave”, and a Fenway Frank. Just the same, statistics and probabilities matter.

This summer, I went to my second Red Sox game. We sat perpendicular to third base. What seats! To my right and to my left, two middle-aged men kept track of every hit and every pitch for every inning.

I asked, “How come you do that?” They both said, “I just enjoy the game more when I do.”

So, for those who enjoy stock statistics, the attached SEI Investments commentary gives you plenty to ponder.

Quiz:  Can you guess the stat before reading the right coloumn? They all seem esoteric to me.

GIDP Ground into Double Plays
IBB Intentional Bases on Balls (Walks)
GOAO Ground Outs / Fly Outs Ratio
MB9 Baserunners Per 9 Innings
OFA Outfield Assists

Here’s the article, “Small-Cap Stocks: Too Far Too Fast or Just the Beginning?” by James Solloway, CFA, Senior Portfolio Manager, Global Portfolio Strategies, SEI Investments, Inc.

NOTE: This material represents an assessment of the market environment at a specific point in time and is not intended to be a forecast of future events, or a guarantee of future results. This information should not be relied upon by the reader as research or investment advice regarding the funds or any stock in particular, nor should it be construed as a recommendation to purchase or sell a security, including futures contracts. There is no assurance as of the date of this material that the securities mentioned remain in or out of the SEI Funds. SEI Investments Management Corporation (SIMC) is the adviser to the SEI Funds, which are distributed by SEI Investments Distribution Co. (SIDCo.) SIMC and SIDCo are wholly owned subsidiaries of SEI Investments Company. For more information, including a prospectus with charges and expenses, call 1-800-DIAL-SEI. Please read the prospectus carefully before investing. For those SEI Funds that employ the ‘manager of managers’ structure, SEI Investments Management Corporation has ultimate responsibility for the investment performance of the Fund due to its responsibility to oversee the sub-advisers and recommend their hiring, termination and replacement. Mutual fund investing involves risk, including the possible loss of principal. In addition to the normal risks associated with equity investing, international investments may involve risk of capital loss from unfavorable fluctuation in currency values, from differences in generally accepted accounting principles or from economic or political instability in other nations. Narrowly focused investments typically exhibit higher volatility. Products of companies in which technology funds invest may be subject to severe competition and rapid obsolescence. Index performance returns do not reflect any management fees, transaction costs or expenses. One cannot invest directly in an index. Past performance does not guarantee future results. Ethos provides this news page for information purposes only and it should not be construed as legal, accounting, tax, or professional advice. Ethos Advisory Services disclaims any loss or liability which is incurred as a consequence, directly or indirectly, of the use or application of this news page.

Ethos Musings hyperlinks are provided as a convenience and we disclaim any responsibility for information, services or products found on websites linked hereto.