Lowry Mid-Week Commentary Week of September 20, 2023

While the major price indexes remain resilient, small-cap stocks have continued to demonstrate relative weakness, reflecting a risk-averse tone from investors, thereby elevating probabilities of renewed volatility. This suggests that the malaise that has presided over the market since early August may be more likely to continue, at least in the shorter term. However, from a longer-term perspective, little has changed in the dominant positive trends in many of Lowry’s core measures of market health. As a result, investors with this point of view in mind may consider gradually adding to their equity exposure as lower prices would likely offer increasingly more attractive entry points.