It was kind of a lame duck week as we saw new stimulus efforts being brought forth by the incoming administration, along with talk of a second impeachment for the outgoing administration. From an economic standpoint we had an unexpected high number for new jobless claims being filed on Thursday report, and then Friday rolled in with banks kicking off earnings season. JPMorgan, Wells Fargo and Citigroup all posted better than expected earnings, but their stock prices declined 1.8%, 7.8% and 6.9% respectively on Friday. Note that there is minimal correlation between company performance and stock price when you have a systemic off-day in the markets like Friday, when the S&P 500 closed down at 3768. For TSP TIPS, the S fund made new record highs on Monday, Tuesday and Thursday and was up for the week. Conversely, the C and I funds took a bit of a breather and consolidated after hitting record highs the previous Friday. Overall, the performance ranking is similar to last week and as such, our current allocation still looks good.
It was kind of a lame duck week as we saw new stimulus efforts being brought forth by the incoming administration, along with talk of a second impeachment for the outgoing administration. From an economic standpoint we had an unexpected high number for new jobless claims being filed on Thursday report, and then Friday rolled in with banks kicking off earnings season. JPMorgan, Wells Fargo and Citigroup all posted better than expected earnings, but their stock prices declined 1.8%, 7.8% and 6.9% respectively on Friday. Note that there is minimal correlation between company performance and stock price when you have a systemic off-day in the markets like Friday, when the S&P 500 closed down at 3768. For TSP TIPS, the S fund made new record highs on Monday, Tuesday and Thursday and was up for the week. Conversely, the C and I funds took a bit of a breather and consolidated after hitting record highs the previous Friday. Overall, the performance ranking is similar to last week and as such, our current allocation still looks good.