Our Chief Investment Officer, Brian Madden, recently appeared on BNN Bloomberg to give an update on Market Outlook and holdings at First Avenue Investment Counsel. 

At First Avenue, we do not believe trying to ‘time the market’ is an effective strategy, as no one has been able to do it successfully. This extends to navigating political events and potential short-term impacts on the market.

The U.S. government will discuss the debt ceiling in the coming weeks and months. The debt ceiling is the legislative limit on the amount of national debt that the U.S. treasury can incur. As they have recently reached their credit limit of $31.4 trillion, discussions about whether to stay or increase will cause turmoil and create a playground for the media. Each outcome won't be possible to predict, however, we can be certain of two things:

1. Media reporting will command a lot of attention and may bring about short-term and arbitrary volatility.

2. The debt ceiling will be raised, as it has in every prior instance since it was first enacted in 1917, and the U.S. government payment obligations will be honoured. 

Watch the video above to see more about our views.