Good Evening, The market continues to move up as it envisions a business friendly Trump Administration. Also providing tail winds today was better than expected jobless data and a probable Fed interest rate increase next week. You say you understand the first two but thought increasing interest rates are a bad thing? When they get too high they are. However, right now they are still at historic lows and a rate increase is a signal that the weak economy that brought about the low rates in the first place is now strong enough to support higher rates. Last but not least is the fact that higher rates will allow banks to make more money which in turn moves the financial sector higher and the financial sector which has been beaten down badly in 2009 still has a lot of room to run. Finally, one last factor that is loosely related to higher rates is fact that money has been moving out of bonds and that money has no better place to go than into stocks. Higher interest rates or even speculation of higher interest rates causes bonds to sell off. Couple all that with a little Santa Rally and you have the current market. Bottom line is that it’s moving up and we must always respect the pricing action.
The days trading left us with the following results: Our TSP allotment moved up another +1.10%. For comparison the Dow put up another new record with a gain of +0.33%, the Nasdaq +0.44%, and the S&P 500 +0.22%. We had them covered today. God continues to bless our group!
Wall Street again marks new highs in post-election run
The days action left us with the following signals: C-Buy, S-Buy, I-Buy, F-Neutral. We are currently invested at 100/S. Our allotment is now +9.66% for the year not including today’s gains. Here are the latest posted results:
12/07/16 | Prior Prices | ||||
Fund | G Fund | F Fund | C Fund | S Fund | I Fund |
Price | 15.1631 | 17.4497 | 30.8695 | 41.3463 | 24.549 |
$ Change | 0.0010 | 0.0484 | 0.4066 | 0.3945 | 0.4217 |
% Change day | +0.01% | +0.28% | +1.33% | +0.96% | +1.75% |
% Change week | +0.03% | +0.26% | +2.28% | +3.35% | +3.16% |
% Change month | +0.04% | +0.17% | +1.97% | +2.68% | +3.22% |
% Change year | +1.66% | +2.92% | +12.00% | +17.34% | +1.88% |
L INC | L 2020 | L 2030 | L 2040 | L 2050 | |
Price | 18.3904 | 24.4627 | 26.8318 | 28.6753 | 16.3323 |
$ Change | 0.0557 | 0.1502 | 0.2403 | 0.2977 | 0.1906 |
% Change day | +0.30% | +0.62% | +0.90% | +1.05% | +1.18% |
% Change week | +0.58% | +1.18% | +1.74% | +2.03% | +2.30% |
% Change month | +0.53% | +1.07% | +1.57% | +1.83% | +2.08% |
% Change year | +3.47% | +5.40% | +7.06% | +7.92% | +8.69% |
