Weekly Market Insight
Welcome to our weekly market update. This newsletter is designed to provide you with current market data, investment insights, and educational information about market trends and strategies. The content herein represents our observations and analysis of market conditions and is intended for informational and educational purposes only. It does not constitute personalized investment advice or a recommendation for any specific security or strategy.
Major Market Indexes
Closing Price as of 10/13/2026
The Strong Tower Difference
Ask Yourself…
What do you own?
Why do you own what you own?
Do you know what you’re truly paying for your investment management and advice?
If you can’t answer these three questions, watch this video
Items of Interest
WHY????
2) Why Do You Own, What You Own?
This quarterly performance chart from Dorsey Wright is very telling. If you have known me for a while, I have referenced Question #2, on many occasions. Diversification, allocation, and optimization are overused “catch” phrases. It is very simple…Why do you own certain investments in your portfolio?
Look below at a few of the Asset Classes and see how they have performed over the last 13, almost 14 years, as we get closer to ending 2026:
US Equities
International Equities
Money Markets
Fixed-Income
Review the 3,5 and 10-year annualized returns.
Solid returns in only a few areas.
Why do you own Fixed Income? Why do you own Bond Funds? It is because they are part of every asset allocation strategy?
You could have made more return in cash/money markets, than you probably have made in bond funds/fixed income. Why have they been part of your allocation? Ask yourself. Is your money working efficiently?
The 10-year annualized return through September 30, 2026, is 9.37%. Based upon a Vanguard Total Stock Market ETF/40% Vanguard Total Bond Market ETF portfolio, rebalanced annually. (Lazy Portfolio ETF)
The return is reasonable because of the strong equity returns in the US Domestic stock market, in the recent years. So again…..WHY?
Strong Tower Wealth Management utilizes a Relative Strength investment management strategy. Find out why…......
Last 7 Days.
Stock Market News
Markets remain near record highs. The S&P 500 and Nasdaq reached new highs during the week, supported by technology stocks and temporarily declining Treasury yields. However, volatility increased as investors evaluated inflation and geopolitical risks. (Kitco News)
Treasury yields remain elevated. The 10-year Treasury yield reached approximately 5.31% on October 5 before retreating to 5.24% on October 9. Higher borrowing costs remain a significant concern for equity valuations and economic growth. (Portfolio Terminal)
Technology stocks face renewed pressure. Semiconductor stocks weakened amid concerns about AI investment and increased competition from Chinese memory-chip manufacturers. (Investopedia)
Corporate earnings season begins. Major banks are reporting mixed results, shifting investors’ attention toward corporate profitability, consumer strength, and forward guidance. (Investopedia)
Geopolitical News
Middle East tensions escalate. Houthi attacks on Saudi Arabia, including Riyadh’s international airport, and renewed threats to shipping through the Strait of Hormuz have increased concerns about global energy supplies. (Kitco News)
Oil prices remain elevated. Brent crude settled near $106.65 per barrel on October 12. Higher energy costs could prolong inflation and complicate Federal Reserve interest-rate decisions. (MarketScreener)
Russia–Ukraine conflict continues. President Trump announced a proposed ceasefire involving energy infrastructure and additional Russian diesel supplies. However, reports of continued attacks raise questions about the agreement’s effectiveness. (Kitco News)
The U.S. dollar strengthens. The dollar remains near an 18-month high as investors seek defensive positioning amid geopolitical uncertainty and elevated U.S. interest rates. (MarketScreener)
Market Outlook
The stock market continues to demonstrate strength despite increasing economic and geopolitical uncertainty. Elevated Treasury yields, higher oil prices, and persistent inflation concerns could challenge further gains.
Corporate earnings and upcoming inflation data will be important in determining whether the market can maintain its upward momentum.
Bottom Line:
The market’s underlying trend remains positive, but rising energy prices, interest-rate pressure and geopolitical tensions suggest investors should remain disciplined and attentive to risk.
Current Strong Tower Model Allocation
Clients Only — Allocation as of 10/13/2026
Bottom Line:
61% of our model is currently in the top 4 Industry Groups.
68% of our model is currently in the top 8 Industry Groups.
About Us
At Strong Tower Wealth Management, we offer comprehensive wealth management services using a goal-focused and holistic approach that considers each client’s overall financial situation, including their family, circumstances, and objectives. Our services include investment management, insurance planning, and estate planning coordination, provided with an emphasis on clarity and transparency.
Not a client yet? We invite you to schedule an introductory assessment with Brett to discuss your financial goals and learn more about how we can support you.
Brett Lewis
Founder / Managing Director
Strong Tower Wealth Management
www.strongtowerwealthmanagement.com