Further June Gains – June 17, 2019
Stocks advanced for a second straight week. The S&P 500 benchmark rose 0.47%; the Nasdaq Composite, 0.70%; the Dow Jones Industrial Average, 0.41%. Overseas shares, as tracked by the MSCI EAFE developed markets index, added 0.20%.1https://www.wsj.com/market-data,2https://quotes.wsj.com/index/XX/990300/historical-prices
The market seemed to put its recent preoccupation with trade issues aside, with attention shifting to this week’s Federal Reserve monetary policy meeting. Traders in futures markets now believe the Fed will make a rate cut in July, so its June policy statement will be of great interest.3https://www.cnbc.com/2019/06/14/stock-market-middle-east-tensions-weigh-china-data-in-focus.html
Oil Prices Rollercoaster
Attacks on vessels in the Strait of Hormuz, the busy oil shipping channel, helped to push the price of West Texas Intermediate crude 2.2% higher Thursday, just a day after a 4% fall. Even so, WTI crude lost 2.7% in five days, closing Friday at $52.51 on the New York Mercantile Exchange.4https://www.marketwatch.com/story/oil-prices-steady-as-market-keeps-watch-on-strait-of-hormuz-after-tanker-attacks-2019-06-14
Investors wondered at mid-week if tensions in the Persian Gulf region would soon impact oil output and transport. Looking beyond the short term, however, the International Energy Agency reduced its 2020 projection for global oil demand.5https://www.marketwatch.com/story/oil-prices-steady-as-market-keeps-watch-on-strait-of-hormuz-after-tanker-attacks-2019-06-14
Households Bought More in May
Retail sales rose 0.5% last month, according to the Department of Commerce. Across the year ending in May, they advanced 3.2%. The previously announced 0.2% April retreat was revised into a 0.3% gain.6https://www.cnbc.com/2019/06/14/retail-sales-may-2019.html
These numbers affirm strong household spending this spring. Consumer spending accounts for roughly two-thirds of the nation’s gross domestic product.
THE WEEK AHEAD:
KEY ECONOMIC DATA
Wednesday: The Federal Reserve concludes a 2-day policy meeting, with Fed chair Jerome Powell addressing the media afterward.
Friday: The National Association of Realtors releases data on May existing home sales.
Source: Econoday / MarketWatch Calendar, June 14, 2019
The Econoday and MarketWatch economic calendars list upcoming U.S. economic data releases (including key economic indicators), Federal Reserve policy meetings, and speaking engagements of Federal Reserve officials. The content is developed from sources believed to be providing accurate information. The forecasts or forward-looking statements are based on assumptions and may not materialize. The forecasts also are subject to revision.
THE WEEK AHEAD: COMPANIES REPORTING EARNINGS
THE WEEK AHEAD: COMPANIES REPORTING EARNINGS
Tuesday: Jabil (JBL)
Wednesday: Kraft Heinz (KHC), Oracle (ORCL)
Thursday: Kroger (KR), Red Hat (RHT), Darden Restaurants (DRI)
Friday: CarMax (KMX)
Source: Zacks.com, June 14, 2019
Companies mentioned are for informational purposes only. It should not be considered a solicitation for the purchase or sale of the securities. Any investment should be consistent with your objectives, time frame and risk tolerance. The return and principal value of investments will fluctuate as market conditions change. When sold, investments may be worth more or less than their original cost. Companies may reschedule when they report earnings without notice.
“The best preparation for tomorrow is doing your best today.”
― H. Jackson Brown, Jr.
Letter From IRS? What to Do (or Don’t Do).
If you receive a letter from the IRS, don’t panic. Millions of letters are sent to taxpayers every year for a myriad of reasons. If you receive a letter from the IRS, here’s some advice:
Don’t panic. Read the letter carefully. There will usually be an action that is requested of you and a corresponding phone number for you to call. Follow the directions carefully.
Be aware of dates and timeframes. The notice you receive will probably have a dated deadline by which to respond with the appropriate action. Be sure to take note of the dates and not miss any deadlines that may be stipulated by the IRS.
Know when to respond. Sometimes the IRS sends a notice or other communication that may not require a response. Again, read carefully, and if needed, respond according to the instructions on the letter. If a payment is required, reply with a payment or visit www.IRS.gov for information about payment options.
You may need to dispute. If you don’t agree with the IRS notice, write a letter explaining why you are disputing the matter and mail it to the address on the contact stub at the bottom of the notice.
* This information is not intended to be a substitute for specific individualized tax advice. We suggest that you discuss your specific tax issues with a qualified tax professional.
Tip adapted from IRS.gov7https://www.irs.gov/newsroom/dos-and-donts-for-taxpayers-who-get-a-letter-from-the-irs
Do Something Golf-Related Every Day
Whether it’s working on your swing, your chip, or your short game, this 30-day challenge is a great idea for any golfer looking to improve their game.
First, which area of the game do you struggle with the most? Do you miss a lot of midrange putts? Are you uncomfortable with a wedge around the green? Whatever it is, it’s time to commit to practicing the weakest part of your game every day at home.
Ten minutes or less doesn’t sound like a lot, but you’ll be shocked how it adds up over time.
That’s not to say you shouldn’t try to do a 30- to 40-minute session at the driving range – those are important too. The point here is to reduce the gaps in time between when you are practicing.
Tip adapted from Practical Golf8https://practical-golf.com/practice-every-day-take-30-day-challenge/
Sleep Tight with a Health-Giving Night’s Rest
Sleep is one of the most important, health-giving things you can do for your body. When you sleep, your body heals itself in all kinds of ways, including metabolism, brain function, and tissue growth and repair. Here are some tips to ensure a better night of healing:
- Schedule it. Try to go to bed and wake up at the same time each day, including the weekends. Your body’s internal clock will thank you.
- Create a before-bed ritual. Try a relaxing routine, preferably without electronics. Try incorporating activities like stretching or yoga, enjoying a cup of herbal tea, a taking bubble bath, or reading a good book.
- No napping. If you’re having trouble sleeping at night, try to avoid afternoon naps to improve your evening snooze.
- Sleep space. Arrange your bedroom for a good night’s sleep. Keep it cool (between 60°F and 67°F), quiet, and dark. You may want to try listening to mediations or “white noise.” Make sure your mattress is comfortable and isn’t ready for retirement (it’s time to replace when yours is around 10 years old). Old pillows should be replaced too.
Tip adapted from The National Sleep Foundation9https://www.sleepfoundation.org/sleep-tools-tips/healthy-sleep-tips
Steps to a Better “Foodprint”
The food you eat has a carbon foodprint; it’s the greenhouse gas emissions produced by growing, farming, processing, transporting, and storing food. The biggest culprit: raising livestock for food. It produces about half of all man-made emissions. This includes the emissions produced on the farm, on the road, getting the goods to the store, and getting them home.
Meat, cheese, and eggs have the highest carbon foodprint. Fruits, veggies, beans, and nuts have the lowest, so a vegetarian diet or one lower in meat consumption, is the way to go if you want to reduce your foodprint. Reduce your meat consumptions with these tips:
- Up your intake of protein with beans, lentils, tofu, and tempeh
- Eat whole grains, beans, and a variety of vegetables
- Search for interesting vegetarian recipes online or invest in some vegetarian cookbooks
- Eat raw salads, fruits, and veggies when you can
- Eat organic when possible
- Try to avoid processed foods of all types
Tip adapted from Green Eatz10http://www.greeneatz.com/foods-carbon-footprint.html
Share the Wealth of Knowledge!
Please share this market update with family, friends or colleagues. If you would like us to add them to our list, simply click on the “Forward email” link below. We love being introduced!
If you would like to opt-out of future emails, please reply to this email with UNSUBSCRIBE in the subject line.
Investing involves risk including the potential loss of principal. No investment strategy can guarantee a profit or protect against loss in periods of declining values.
Diversification does not guarantee profit nor is it guaranteed to protect assets.
International investing involves special risks such as currency fluctuation and political instability and may not be suitable for all investors.
The Standard & Poor’s 500 (S&P 500) is an unmanaged group of securities considered to be representative of the stock market in general.
The Dow Jones Industrial Average is a price-weighted average of 30 significant stocks traded on the New York Stock Exchange and the NASDAQ. The DJIA was invented by Charles Dow back in 1896.
The Nasdaq Composite is an index of the common stocks and similar securities listed on the NASDAQ stock market and is considered a broad indicator of the performance of stocks of technology companies and growth companies.
The MSCI EAFE Index was created by Morgan Stanley Capital International (MSCI) that serves as a benchmark of the performance in major international equity markets as represented by 21 major MSCI indices from Europe, Australia and Southeast Asia.
The S&P U.S. Investment Grade Corporate Bond Index contains U.S.- and foreign-issued investment-grade corporate bonds denominated in U.S. dollars.
The SPUSCIG launched on April 09, 2013. All information for an index prior to its Launch Date is back-tested, based on the methodology that was in effect on the Launch Date. Back-tested performance, which is hypothetical and not actual performance, is subject to inherent limitations because it reflects application of an Index methodology and selection of index constituents in hindsight. No theoretical approach can take into account all of the factors in the markets in general and the impact of decisions that might have been made during the actual operation of an index. Actual returns may differ from, and be lower than, back-tested returns.
The S&P/Case-Shiller Home Price Indices are the leading measures of U.S. residential real estate prices, tracking changes in the value of residential real estate. The index is made up of measures of real estate prices in 20 cities and weighted to produce the index.
The 10-year Treasury Note represents debt owed by the United States Treasury to the public. Since the U.S. Government is seen as a risk-free borrower, investors use the 10-year Treasury Note as a benchmark for the long-term bond market.
Opinions expressed are subject to change without notice and are not intended as investment advice or to predict future performance.
Past performance does not guarantee future results.
You cannot invest directly in an index.
Consult your financial professional before making any investment decision.
Fixed income investments are subject to various risks including changes in interest rates, credit quality, inflation risk, market valuations, prepayments, corporate events, tax ramifications and other factors.
By clicking on these links, you will leave our server, as they are located on another server. We have not independently verified the information available through this link. The link is provided to you as a matter of interest. Please click on the links below to leave and proceed to the selected site.
Headquartered in Newport Beach, California, MGO Wealth Advisors, LLC is a very different kind of investment management firm. more >>>
References [ + ]