Treasury Yield Curve
The yield curve has inverted; that is, short-term interest rates are now higher than longer-term rates. This phenomenon can indicate the potential for a recession. While there is no cause-and-effect-relationship, the mere presence of an inversion can have an impact on capital expenditures and business hiring.



ISM Manufacturing Index
The September ISM Manufacturing Index came in below expectations at 49.1%, indicating a slight contraction in the industrial sector. This data takes on increased significance due to its downward trend since January and in light of trade tensions with China. A report below 50% indicates a contraction in the industrial sector, increasing the risk that a recession is more likely.

The information herein was obtained from various sources believed to be accurate; however, Forté Capital does not guarantee its accuracy or completeness. This report was prepared for general information purposes only. Neither the information nor any opinion expressed constitutes an offer to buy or sell any securities, options, or futures contracts. Forté Capital’s Proprietary Market Risk Barometer is a summary of 30 indicators and is copyrighted by Forté Capital LLC. For further information, visit www.fortecapital.com, send a message to info@forte-capital.com, or call 866-586-8100 and ask for David W. Henion, CPA, or Larry H. Rabinowitz, CPA/PFS.