Good Evening, The rather vicious sector rotation out of tech and into retail, financial, industry, and energy continued today on the tails of a wild session on Friday. News was released on Friday about the Russian investigation and the tax reform bill that caused both a selloff and a recovery in the same day. I won’t get into the details at this time but suffice to say that that most of the sector rotation is in response to the tax bill. Investors are scooping up retail and financial stocks that stand to benefit from a corporate tax cut as fast as they can go. Especially financials which can not only benefit from the tax cut but also from an interest rate increase that will likely occur this month. The end result was a mixed day today for the major indices with the Dow managing to set another record that the media promptly celebrated. However, while they were celebrating the rest of us were struggling to stay in the green….
The days trading left us with the following results:Our TSP allotment fell back -0.34%. For comparison, the Dow added +0.24%, the Nasdaq lost -1.05%, and the S&P 500 dropped -0.11%.
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 allocation is now +18.14% on the year. Here are the latest posted results:
| 12/04/17 |
|
|
|
Prior Prices |
| Fund |
G Fund |
F Fund |
C Fund |
S Fund |
I Fund |
| Price |
15.5134 |
18.0703 |
37.0851 |
47.9553 |
30.2285 |
| $ Change |
0.0031 |
-0.0109 |
-0.0387 |
-0.1598 |
0.1072 |
| % Change day |
+0.02% |
-0.06% |
-0.10% |
-0.33% |
+0.36% |
| % Change week |
+0.02% |
-0.06% |
-0.10% |
-0.33% |
+0.36% |
| % Change month |
+0.03% |
+0.23% |
-0.30% |
-0.59% |
-0.46% |
| % Change year |
+2.15% |
+3.56% |
+20.12% |
+16.98% |
+22.87% |
| |
L INC |
L 2020 |
L 2030 |
L 2040 |
L 2050 |
| Price |
19.4614 |
26.7065 |
30.4214 |
33.086 |
19.1437 |
| $ Change |
0.0022 |
0.0020 |
0.0004 |
-0.0010 |
-0.0012 |
| % Change day |
+0.01% |
+0.01% |
+0.00% |
+0.00% |
-0.01% |
| % Change week |
+0.01% |
+0.01% |
+0.00% |
+0.00% |
-0.01% |
| % Change month |
-0.05% |
-0.11% |
-0.22% |
-0.27% |
-0.32% |
| % Change year |
+5.71% |
+9.11% |
+13.36% |
+15.40% |
+17.26% |
Now lets take a look at the charts. All signals are annotated with green circles. If you click on the charts they will become larger.
C Fund:
S Fund:
I Fund:
F Fund:
Be advised that when there is a big sell off like the one that occurred this past Friday morning you can often find the latest news and comments on our facebook page. This is the message that I posted on December 1st at 11:08 AM “Folks don’t panic! There is indeed a big selloff in stocks today based on the Russian investigation in DC. But don’t forget that the market fundamentals remain unchanged. Earnings are solid, holiday sales are solid and most importantly the world economy is still solid. The market has had a very short memory with regard to Geo Political Events both recently and through out it’s history and I see no reason that this will be any different. If you sell now and the market bounces back you will find yourself with a sizable and unnecessary loss. Give this thing some time to sort out. Then look at your charts and determine where this market is going. You can’t depend on your emotions! The most important thing to remember is that PANIC is not a strategy!!!! God bless and try to have a nice day.” That message is still relevant tonight! Nothing has changed. Plus, if you don’t follow us on facebook give it a spin. We post a lot of links and info that will help you navigate the market and TSP. That’s all for tonight. Have a nice evening and I’ll see you tomorrow!
God bless, Scott 
***Just a reminder that you can review the performance of our allocation at the Web Site TSPTALK.com in the autotracker section under the screen name KyFan1.
I produce and publish this blog as both a ministry and for the benefit of any Federal Government Employee. This is done to offer you some guidance as to how to approach your retirement more financially successful. When it is time for you to retire, I recommend you utilize the services of a Professional Money Manager, who works with a reputable investment firm. He understands the guidance you have already received and he can manage your savings assets utilizing a more advanced investment program into the future.
If you would like to receive more information about this introduction, please feel free to contact me at [email protected].
