Happy Easter!

Why should the markets celebrate Easter?

On Friday our stock market was closed for Good Friday. Today most of Europe is closed for Easter Monday as well. Long weekends are a nice break from the daily grind, and allow people to spend time relaxing and reflecting. But why do we do this?

Easter is of course a Christian holiday, celebrating the story of Christ’s resurrection. The European and American markets, with their western roots, respect this tradition. The word “Easter” is Germanic, and appears to stem from Eostre, an Anglo-Saxon dawn goddess—who was also associated with spring and rebirth. (Most scholars do not think it derives from Istar, the Babylonian goddess of love, war, and sex.) In its early years Christianity adapted to local customs and cultures.

Without getting into the religious issues, renewal and rebirth are good things. We’ve seen companies reinvent themselves in order to adapt to new circumstances. IBM has gone through at least three different incarnations during my years in the market, and the entire market has changed many times: in the late ‘70s stocks were dominated by the oil-patch, in the ‘80s we were all turning Japanese, the ‘90s were the go-go internet era, and the ‘00s were dominated by the Financial Crisis and Great Recession.

Success breeds failure and failure breeds success as capital seeks returns. As long as the earth keeps spinning and cash keeps flowing, we’ll continue to see new life. Long live the bunny!

Douglas R. Tengdin, CFA

Chief Investment Officer

By |2013-04-01T11:14:09+00:00April 1st, 2013|Global Market Update|0 Comments

About the Author:

Mr. Tengdin is the Chief Investment Officer at Charter Trust Company and author of “The Global Market Update”. The audio version of each post can be heard on radio stations throughout New England every weekday. Mr. Tengdin graduated from Dartmouth College, Magna Cum Laude. He received his Master of Arts from Trinity Divinity School, Magna Cum Laude and received his Chartered Financial Analyst (CFA) designation in 1992. Mr. Tengdin has been managing investment portfolios for over 30 years, working for Bank of Boston, State Street Global Advisors, Citibank – Tunisia, and Banknorth Group. Throughout his career, Mr. Tengdin has emphasized helping clients manage their financial risks in difficult environments where they can profit from investing in diverse assets in diverse settings. - Leave a comment if you have any questions—I read them all! - And Follow me on Twitter @GlobalMarketUpd

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