TSP Market Summary: Week of October 08, 2016
Key Takeaways
- S&P 500 fell from August high of 2190 to 2153, signaling potential weakness ahead
- C, S, and I funds all dropped below 50-day averages, ending bullish trend since April
- Market showing signs of fatigue after sideways trading since mid-July
Recommended Allocation (Moderate Profile)
This is our historical recommendation from this date. For current recommendations, subscribe.
| G Fund | F Fund | C Fund | S Fund | I Fund |
|---|---|---|---|---|
| 20% | 5% | 20% | 30% | 25% |
1. On 15 August the S&P 500 closed at 2190, it’s high for the year. Since that time we’ve been in a slight decline, closing this week at 2153. <br>2. We’ve been bouncing around this level since mid-July.<br>3. All three equity funds (C/S/I) closed below their 50 day Moving Averages on Friday. They had been bullish and above that average since mid-April.<br>When you combine the above, the markets appear to be “tired” and as such, we’re recommending a 15 percent reduction in the equity funds.