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 10/20/2026
The Strong Tower Difference
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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?
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Items of Interest
October 1907 --- Wall Street was in a Complete Panic.
I found an interesting story that I wanted to share:
The October Stock Market Crash That Ended with a Group of Bankers Being Locked in a Library!
Banks were failing, investors were withdrawing their money, and the stock market was collapsing. With no Federal Reserve to rescue the financial system, America’s most powerful banker, J.P. Morgan, decided to take matters into his own hands. Morgan invited some of the country’s most influential bankers into his private library to discuss how to save the financial system.
Then he did something rather unconventional.
He locked the doors.
He essentially refused to let the bankers leave until they agreed to contribute millions of dollars to stabilize the financial system.
By approximately 4 a.m. on November 3, they had reached an agreement.
Apparently, nothing encourages financial cooperation quite like being locked in a room with a bunch of other bankers!
The October panic and its aftermath eventually helped inspire the creation of the Federal Reserve in 1913. (The Morgan Library and Museum).
One more….....
Mark Twain’s Hilarious Warning About Investing in October
In his 1894 novel, Pudd’nhead Wilson, Mark Twain warned that October was an especially dangerous month to speculate in stocks.
Then he identified the other dangerous months: All eleven remaining months of the year!
The irony? Twain himself was a notoriously unsuccessful investor.
He poured a fortune into a revolutionary typesetting machine called the Paige Compositor. Unfortunately, the invention never became the commercial success he expected, and Twain suffered enormous financial losses. (The Motley Fool)
The investing lesson:
Even brilliant people can make terrible investment decisions. Intelligence doesn’t necessarily translate into investment discipline.
“Fortunately, today we don’t have to lock investors in a library to encourage discipline. We simply need an investment strategy designed to keep emotions from making the decisions. Because while October may frighten investors, fear and greed don’t follow a calendar.”
Have a great day!
Last 7 Days.
Market Overview:
U.S. equities experienced increased volatility over the past seven days, driven by concerns over artificial intelligence valuations, rising Treasury yields, inflation, and geopolitical tensions. Technology stocks rebounded Monday after last week’s selloff, but the broader market remains under pressure.
Stock Market News
Technology and AI volatility: Semiconductor and AI-related stocks experienced significant selling pressure as investors questioned elevated valuations and the financing of AI infrastructure. Technology rebounded October 19, lifting the Nasdaq 1.1%. (Business Recorder)
Treasury yields remain elevated: The 10-year Treasury yield traded near 5.08% on October 20. Higher borrowing costs continue to challenge equity valuations, housing, and economic growth. (The Wall Street Journal)
Corporate earnings: Third-quarter earnings season began with mixed results from major banks. Strong semiconductor company earnings did not prevent selling pressure across the technology sector. (Investors Business Daily)
Inflation concerns: Elevated energy prices and persistent inflation have complicated expectations for Federal Reserve policy. Investors remain sensitive to the possibility of interest rates staying higher for longer. (The Wall Street Journal)
Geopolitical News
Middle East conflict: Attacks on shipping near the Strait of Hormuz increased concerns about global energy supplies. Brent crude approached $110 per barrel on October 16, threatening renewed inflationary pressure. (Investing.com)
Russia–Ukraine war: Ukraine resumed strikes on Russian energy infrastructure following continued Russian attacks. Growing disagreements between Washington and Kyiv raised uncertainty surrounding U.S. support and the direction of the conflict. (MarketScreener UK)
Global energy security: Disruptions to shipping, Russian oil supplies, and potential sanctions adjustments are creating uncertainty for energy markets and transportation costs. (Investing.com)
Global bond markets: Political and fiscal uncertainty in Europe added pressure to sovereign bond markets, particularly France, contributing to international financial-market volatility. (The Wall Street Journal)
Investment Outlook
The stock market remains positive year-to-date, but volatility has increased as investors evaluate elevated valuations, inflation, interest rates, and geopolitical risks.
Three key indicators to monitor:
1. 10-Year Treasury Yield: Sustained yields above 5% could pressure equity valuations and economic growth.
2. Oil Prices: Brent crude near $110 increases inflation concerns and could limit Federal Reserve flexibility.
3. Market Breadth: Watch whether leadership expands beyond large-cap technology or selling pressure spreads across additional sectors.
Bottom Line:
The market’s longer-term upward trend has not necessarily ended, but leadership is becoming less consistent. A disciplined, relative-strength investment strategy that emphasizes stronger sectors, manages exposure, and protects against downside risk remains particularly important in this environment.
Current Strong Tower Model Allocation
Clients Only — Allocation as of 10/20/2026
Bottom Line:
47.00% of our model is currently in the top 4 Industry Groups.
67.00% 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