It was a record setting week for the S&P 500 as it closed Friday at 5,303. On Monday the markets were flat in anticipation of the mid-week inflation numbers. Before Tuesdays open, the April Month over Month Producer Price Index (PPI) came in at 0.5%, higher than the forecast of 0.3%, and 2.2% on an annual basis. The S&P 500 bounced around at first, but started a nice run up after lunch and closed at session highs. Then we got the second inflation number before Wednesdays open. The April annual core Consumer Price Index came in at 3.6%, down from Marchs 3.8% and easing to a three-year low. The S&P 500 gapped up at the open, crossed the 5,300 level mid-afternoon, and closed at a new record high of 5,308 for a daily gain of over 1%. On Thursday the S&P 500 gave back some closing just below 5,300 and remaining there until mid-afternoon on Friday. In Fridays last 90 minutes the markets turned bullish, the S&P 500 closed above the 5,300 level again, but just shy of Wednesdays record high. The Dow Jones Industrial Average also closed Friday above the key 40,000 level for the first time in history. From a technical perspective, the S&P 500 now has four consecutive weeks of gains and a third straight week of a higher intraweek high, and higher intraweek low. Next week we are light on economic news with the Fed meeting minutes on Wednesday and Durable Goods on Friday, so we may see the markets take a breather. For TSP TIPS, the I fund made new record highs from last Friday through Wednesday, and the C fund also made a new record high on Wednesday. The I fund has a Composite Score of 100, but the C fund could also hit that level if its 20 day Moving Average (MA) crosses above its 50 MA next week. That said our current investment mix still looks good. Lastly, just a friendly reminder about our TIPS Webinar at 5PM ET on Tuesday.
It was a record setting week for the S&P 500 as it closed Friday at 5,303. On Monday the markets were flat in anticipation of the mid-week inflation numbers. Before Tuesdays open, the April Month over Month Producer Price Index (PPI) came in at 0.5%, higher than the forecast of 0.3%, and 2.2% on an annual basis. The S&P 500 bounced around at first, but started a nice run up after lunch and closed at session highs. Then we got the second inflation number before Wednesdays open. The April annual core Consumer Price Index came in at 3.6%, down from Marchs 3.8% and easing to a three-year low. The S&P 500 gapped up at the open, crossed the 5,300 level mid-afternoon, and closed at a new record high of 5,308 for a daily gain of over 1%. On Thursday the S&P 500 gave back some closing just below 5,300 and remaining there until mid-afternoon on Friday. In Fridays last 90 minutes the markets turned bullish, the S&P 500 closed above the 5,300 level again, but just shy of Wednesdays record high. The Dow Jones Industrial Average also closed Friday above the key 40,000 level for the first time in history. From a technical perspective, the S&P 500 now has four consecutive weeks of gains and a third straight week of a higher intraweek high, and higher intraweek low. Next week we are light on economic news with the Fed meeting minutes on Wednesday and Durable Goods on Friday, so we may see the markets take a breather. For TSP TIPS, the I fund made new record highs from last Friday through Wednesday, and the C fund also made a new record high on Wednesday. The I fund has a Composite Score of 100, but the C fund could also hit that level if its 20 day Moving Average (MA) crosses above its 50 MA next week. That said our current investment mix still looks good. Lastly, just a friendly reminder about our TIPS Webinar at 5PM ET on Tuesday.