TSP Market Summary: Week of February 23, 2019
Key Takeaways
- U.S.-China trade progress boosting investor confidence with potential March deadline extension
- S&P 500 above key moving averages signals bullish outlook for C Fund performance
- Fed testimony and GDP data next week could impact TSP fund allocation strategies
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 |
|---|---|---|---|---|
| 0% | 20% | 40% | 40% | 0% |
The S&P 500 was up for the week and closed at 2792 on Friday. Investor confidence is growing with U.S./China trade talks continuing as we approach the 2 March deadline. With progress being made, there is the possibility that date could be extended and it looks as if both Presidents are hopeful of a deal prior to their late March summit. Other economic market movers next week will be Federal Reserve Chairman Powell\'s testimony to Congress as well as first quarter GDP. From a technical Moving Average (MA) perspective, the S&P 500 price is above both the 200 and 50 day MA’s, and both of those MA’s are trending upward. The next major threshold will be when the 50 day MA crosses above the 200 day MA, otherwise known as the “Golden Cross”. For TSP TIPS, we will march in step with these bullish developments and therefore are recommending the following reallocation.