Markets remained steady despite major events: North Korea summit, Fed rate hike, China tariffs
Strong economic growth and low unemployment support continued equity fund investing
Trade war escalation with China creates uncertainty but doesn't change strategy yet
The S&P 500 closed at 2779 Friday which is where we were a week ago even after an eventful week. The summit with Kim Jung Un and the denuclearization of North Korea started the week with little market reaction. The Fed announced an expected interest rate hike due to strong economic growth and historic low unemployment numbers. Trade tariffs on $50 billion of Chinese good were announced Friday and China then announced retaliatory tariffs. For TSP TIPS, we recommend no changes and remaining 100 percent invested in the equity funds (C/S/I).
The S&P 500 closed at 2779 Friday which is where we were a week ago even after an eventful week. The summit with Kim Jung Un and the denuclearization of North Korea started the week with little market reaction. The Fed announced an expected interest rate hike due to strong economic growth and historic low unemployment numbers. Trade tariffs on $50 billion of Chinese good were announced Friday and China then announced retaliatory tariffs. For TSP TIPS, we recommend no changes and remaining 100 percent invested in the equity funds (C/S/I).