TSP Market Summary: Week of January 14, 2023
Key Takeaways
- S&P 500 shows bullish momentum with Santa Claus Rally and positive First Five Days indicator
- International fund (I Fund) leads TSP performance with strong technical positioning above averages
- Market faces key 4000 resistance level amid improving inflation and upcoming earnings reports
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% | 10% | 25% | 15% | 50% |
The S&P 500 notched a second consecutive week of gains closing at 3999 on Friday. Monday marked the end on the First Five Trading Days indicator, and the S&P finished higher reinforcing the bullish Santa Claus Rally. On Wednesday the S&P 500 gained over 1 percent, while Thursdays CPI report came in as expected with a muted market reaction. Thursday and Friday also saw the S&P 500 crossing above its 200 day Moving Average (MA) on an intraday basis but failing to close above 4000. The last time the S&P 500 closed above 4000 was on 2 December, and it has formed resistance in the past year. With the New Year having those two bullish indicators, inflation improving, and the start of earnings season, hopefully well see more of a run to the upside during the holiday shortened upcoming week. For TSP TIPS, the International fund continues to be the leader as its price is above its 50 day MA which is above its 200 day MA. The Small Cap fund also continues to see advances in its Performance Ranking. That said, we recommend the following Investment Mix.