Dear friends, I begin this newsletter while at the beach in LBI (NJ), where not a single face mask can be found. What a difference a year can make! Here in the US, the vaccines have brought back life to society with movies, fireworks, and concerts back on the agenda for the summer months. Although, we still have a way to go to truly say good-bye to this horrific pandemic, and tragically even further for much of the world, we can certainly recognize the extraordinary technology that allowed us to turn the tide (beach reference) on what could have been a much more devasting crisis. Our team at Pegasus wish you and yours a very happy fourth of July and safe summer, and look forward to continuing to help you realize your goals, aspirations, and dreams.
By Rodd D. Berro
For another quarter, the major averages continued to climb higher from the covid lows of March 2020. The Dow Jones Industrial Average ended June 30th up 12.7% for the year, while the S&P 500 rose 15.3%, the Russell 2000 small cap index was up 17.0% and the Nasdaq Composite climbed a mere 12.5%. The bond market continued to defy gravity (and inflation fears) with the 10-year Treasury yield dropping back down to 1.44% from 1.75% on March 31, and the 30-year Treasury ended at 2.07% down from 2.63% at last quarter’s end. Gold slipped 6.1% for the year while oil gushed 51.4% since December 31st, which has clearly been evident at the pump.
As mentioned earlier, the technology for the vaccines has been both amazing and timely. Other technologies also ended up being prescience for the lock down and future living with an endemic. Telecommuting with Zoom or other services came into their own just when they were need most. Next day and same day delivery of everything from produce to jigsaw puzzles was a life saver. This timely technology continues with waiter-less ordering at restaurants and smart buildings that open doors, ring elevators and control the air without ever touching a control. One of the problems that has grown with the increase in the delivery of everything is the number of returns for clothing. Not being able to try on a pair of pants (in the store as well, due to closed dressing rooms) has cost retail time, money and sales. Technology is coming to the rescue. “Virtual try on” works with your phone, your measurements, a picture of you and the retailer to allow you to see exactly what a specific size and piece of clothing will look like worn by you. As this technology becomes more widespread trying on clothes may become less necessary as will costly and bothersome returns. There are a few companies working on this solution, but if you want to see for yourself, try out 3DLooks mobile app, “YourFit”.
Expected global technology spending in US dollars for 2021............ 5 Trillion
Number of internet users worldwide in 2020............ 4.7 Billion
Number of active users of social media worldwide in 2020............ 4.2 Billion
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