In the five trading days from 8/19-8/25, the S&P 500 dropped almost 10% in value. One day later, on the 26th, with uncertainty and fear at recent highs, we published the following the message on our bullish outlook and sent it to each of our clients and partnering advisors. We encourage you to read the message here.

Today, the same trepidation and uncertainty exists with fears of a stalling economy in China and discussions of a Federal Reserve rate hike leading the charge. Throughout the turmoil, NorthCoast maintained its positioning and even added slight exposure. While technical signals warrant concern, attractive valuation metrics are at levels not seen since mid-2013. A slow-growing U.S. economy with solid job growth and increasing housing starts provides optimism amidst a more stagnant global backdrop.