It was a wild pre-holiday week for stocks but many indices managed to close near their highs for the week. The geopolitical environment remains tense keeping investors on edge, and we got a stronger than expected GDP report on Thursday that had some folks worried it might get the Fed to start tightening their monetary policy. But the buyers stepped up quickly and the S&P 500 ended the week above 2000 for the first time.
Here are the weekly, final monthly, and annual TSP fund returns through Friday, August 29…
The S-fund led the way in August while the I-fund lagged badly as the dollar has been rallying strong against the European currencies.
The SPY (S&P 500 / C-fund) has been able to hold above the July highs after breaking out in August. It sure looks extended and possibly due for a rest, but the market has been resilient all year so maybe we should give it the benefit of the doubt.
Chart provided courtesy of www.stockcharts.com, analysis by TSP Talk
The Wilshire 4500 (S-fund) has been in a tight rising trading channel since bottoming at the beginning of the month. July was terrible. August was very good. What will September bring?
Chart provided courtesy of www.stockcharts.com, analysis by TSP Talk
The EFA (I-fund) has been struggling and here is the biggest concern for stocks. The economies in Europe have been slowing down and this chart shows that the 50-day EMA may be acting as resistance, which is what happens in a bear market. The question is, what does that mean for the U.S. market?
Chart provided courtesy of www.stockcharts.com, analysis by TSP Talk
The IEF (Bonds / F-fund) have done very well as bond yields have remains stubbornly low. This is a bullish chart and we’ll have to see how long stocks and bonds can rise together.
Chart provided courtesy of www.stockcharts.com, analysis by TSP Talk
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 http://www.tsptalk.com/comments.html.
Tom Crowley
www.tsptalk.com
Weekly Wrap-Ups Archive
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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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