It was a negative week for stocks with choppiness throughout and an unsatisfied reaction by investors to the Feds policy statement Wednesday afternoon. Thursday looked promising which some credited to Fed member Janet Yellen’s statements about interest rates staying low and how she felt things were going well for the economy, however that was quickly forgotten with a volatile Friday that closed near the week low.
Here are the weekly, monthly, and annual TSP fund returns for the week ending January 30th:
The SPY (S&P 500 / C-fund) has been in a ping pong battle with the 198 support line and the 206 overhead resistance line since the beginning of the New Year. The support line held strong during this negative week but Monday’s the start of a new month so it’s anyone’s guess as to where the market will turn next.
The Wilshire 4500 (S-fund) had its second failed breakout in two months and broke below its 50-day EMA after its turn around and is now relying on its rising support line to hold it in place.
The EFA (EAFE Index / I-fund) has had a good year so far and did manage to end the week with small gains, but it has finally found its overhead resistance. Now I guess we’ll see if it can retest its 200-day EMA which it bounced off of back at the end of November, but until then we assume this is a short-term rally.
The AGG (Bonds / F-fund) broke out above the bull flag last week and continues to outperform all the other funds. Bond yields continue to decline as investors are looking to bonds with the volatility in stocks. The sell off in stocks at Friday’s open led to gap up open in bond prices.
Good luck and thanks for reading! We will be back here next week with another TSP Wrap Up. You can read our daily market commentary at TSP Talk Market Commentary.If you need more help deciding what to do with your account, perhaps one of our premium services can help.
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The legal stuff: This information is for educational purposes only! This is not advice or are commendation. We do not give investment advice. Do not act on this data. Do not buy, sell or trade the funds mentioned herein based on this information. We may trade these funds differently than discussed above. We use additional methods and strategies to determine fund positions.
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