Are financial markets exaggerating developments? Wells Fargo’s Chief Economist, Tom Porcelli, made striking comments during a program on current events. Tom Porcelli: “Because I know my time horizon is sufficiently long, I’m very comfortable—I’m not particularly bothered by market volatility. If I ever believed we were on the verge of a sharp downturn, I would make some adjustments to my portfolio. Otherwise, I simply accept the situation and let it unfold. I believe the rise in bond yields is real, and I think a new floor has formed beneath bond yields. What people should keep in mind—especially equity investors, who may be fixated on this more than anyone else—is that rising bond yields are not inherently bad; what matters is why they’re rising. If yields are increasing for sound reasons, then there’s nothing wrong with that—and I believe most of the recent increases have stemmed from positive fundamentals.”