It was a record setting week as the S&P 500 closed Friday at 6,296. Before Mondays open, Bitcoin set a record high of $123K. Once open, a 30% tariff on the European Union (EU) and Mexico was announced, but the &P 500 did eke out a small gain. Before Tuesdays open the Consumer Price Index (CPI) monthly and annual numbers were in line with expectations, and the S&P 500 gapped up at the open, crossed above the 6,300 level and set a new intraday high record. However, it fell during the session ending with a down day. Similar to Tuesday, before Wednesdays open the monthly Producer Price Index (PPI) number came in flat, beating expectations, but this time the S&P 500 clawed back most of Tuesdays losses. Thursdays jobless claims came out at 221,000, marking a decrease of 7,000 from the previous week. Following that June retail sales rose more than expected, up 0.6% from May and beating the 0.2% estimate. Buoyed by this strong economic news, the S&P crossed above the 6,300 level, setting new record intraday and closing highs. Before Fridays open the UMICH Survey of Consumers reflected sentiment rising 1.8 to 61.8, in line with the estimate and at the highest level since February. As such, the S&P 500 gapped up at the open, setting another record intraday high of 6,314. However, the session turned down on dega vu Monday news of a minimum tariff of between 15% and 20% with the EU. And then on Friday afternoon, we made a return to crypto when Trump signed the Genius Act, which regulates stablecoins pegged to underlying assets like the U.S. dollar (think instantaneous transactions, not posting), into law. All told, the S&P 500 had a slight daily loss of less than one point, but did post a weekly gain. From a technical perspective, the bullish moves of the S&P 500 are broadening out to other major indices as the NASDAQ 100 also set numerous records this week. And on the earnings front, with 12% of S&P 500 companies reporting results so far, 83% have beaten estimates. For next week theres not much on the economic calendar, but earnings season continues with Tesla and Alphabet reporting on Wednesday. For TSP TIPS the Composite Scores of the C, S and I are all topped out at 100. However, in previous updates we have mentioned that the Performance Rankings of the three have been narrowing. And this week we have seen the S fund jumping to the top of the leaderboard, displacing the I fund from #1, a position held since mid-February. On Thursday the C fund closed above 100 for the first time, setting a record high, and then making it back-to-back records with another new high on Friday. And with that action, it looks like the C fund will overtake the I fund in the Performance Rankings next week. As such we are recommending the following new investment mixes.
It was a record setting week as the S&P 500 closed Friday at 6,296. Before Mondays open, Bitcoin set a record high of $123K. Once open, a 30% tariff on the European Union (EU) and Mexico was announced, but the &P 500 did eke out a small gain. Before Tuesdays open the Consumer Price Index (CPI) monthly and annual numbers were in line with expectations, and the S&P 500 gapped up at the open, crossed above the 6,300 level and set a new intraday high record. However, it fell during the session ending with a down day. Similar to Tuesday, before Wednesdays open the monthly Producer Price Index (PPI) number came in flat, beating expectations, but this time the S&P 500 clawed back most of Tuesdays losses. Thursdays jobless claims came out at 221,000, marking a decrease of 7,000 from the previous week. Following that June retail sales rose more than expected, up 0.6% from May and beating the 0.2% estimate. Buoyed by this strong economic news, the S&P crossed above the 6,300 level, setting new record intraday and closing highs. Before Fridays open the UMICH Survey of Consumers reflected sentiment rising 1.8 to 61.8, in line with the estimate and at the highest level since February. As such, the S&P 500 gapped up at the open, setting another record intraday high of 6,314. However, the session turned down on dega vu Monday news of a minimum tariff of between 15% and 20% with the EU. And then on Friday afternoon, we made a return to crypto when Trump signed the Genius Act, which regulates stablecoins pegged to underlying assets like the U.S. dollar (think instantaneous transactions, not posting), into law. All told, the S&P 500 had a slight daily loss of less than one point, but did post a weekly gain. From a technical perspective, the bullish moves of the S&P 500 are broadening out to other major indices as the NASDAQ 100 also set numerous records this week. And on the earnings front, with 12% of S&P 500 companies reporting results so far, 83% have beaten estimates. For next week theres not much on the economic calendar, but earnings season continues with Tesla and Alphabet reporting on Wednesday. For TSP TIPS the Composite Scores of the C, S and I are all topped out at 100. However, in previous updates we have mentioned that the Performance Rankings of the three have been narrowing. And this week we have seen the S fund jumping to the top of the leaderboard, displacing the I fund from #1, a position held since mid-February. On Thursday the C fund closed above 100 for the first time, setting a record high, and then making it back-to-back records with another new high on Friday. And with that action, it looks like the C fund will overtake the I fund in the Performance Rankings next week. As such we are recommending the following new investment mixes.