In a holiday shortened week, the S&P put together back-to-back up weeks, closing Thursday at 7,500. On Monday the S&P 500 gapped up at the open, and chip stocks clawed back some of their losses from last weeks tech rout, which drove the S&P 500 to a daily gain of greater than 1%. But not so fast!! On Tuesday chip stocks sold off again, dragging the S&P 500 down which continued into Wednesday. Before Wednesdays open, the headline annual inflation rate climbed above 4% for the first time in three years. And chip stocks came under pressure again, with shares of Micron Technology (MU), Advanced Micro Devices (AMD) and Broadcom (AVGO) falling for the fourth day in five. Wednesdays decline accelerated in the afternoon as the markets became roiled at the new Fed Chairs comments regarding forward guidance and hawkish tenor. By the closing bell the S&P 500 had notched a greater than 1% daily loss. On Thursday, the final trading day of the week, the S&P 500 gapped up at the open to 7,500, and was able to maintain that level through the closing bell. All told, the S&P 500 notched a daily gain of over 1%, and was up just shy of 1% for the week. From a technical perspective, the S&P 500 is now up in 11 of the last 12 weeks, and is making another bullish run towards breaking the old S&P 500 closing record of 7,609 set on 2 June. For next week the big economic numbers come on Thursday with GDP and Mays Core PCE Price Index numbers. For TSP TIPS the I and S funds sit at the top of the Performance Ranking leaderboard respectively, closely bunched within 0.5% of each other. Both also have maxed out Composite Scores of 100, and both set new record highs this week along with both gaining over 1%. As such, well stay with our current investment mix allocations, but primed for a new recommendation as we close out the first half of the year at the end of June.
In a holiday shortened week, the S&P put together back-to-back up weeks, closing Thursday at 7,500. On Monday the S&P 500 gapped up at the open, and chip stocks clawed back some of their losses from last weeks tech rout, which drove the S&P 500 to a daily gain of greater than 1%. But not so fast!! On Tuesday chip stocks sold off again, dragging the S&P 500 down which continued into Wednesday. Before Wednesdays open, the headline annual inflation rate climbed above 4% for the first time in three years. And chip stocks came under pressure again, with shares of Micron Technology (MU), Advanced Micro Devices (AMD) and Broadcom (AVGO) falling for the fourth day in five. Wednesdays decline accelerated in the afternoon as the markets became roiled at the new Fed Chairs comments regarding forward guidance and hawkish tenor. By the closing bell the S&P 500 had notched a greater than 1% daily loss. On Thursday, the final trading day of the week, the S&P 500 gapped up at the open to 7,500, and was able to maintain that level through the closing bell. All told, the S&P 500 notched a daily gain of over 1%, and was up just shy of 1% for the week. From a technical perspective, the S&P 500 is now up in 11 of the last 12 weeks, and is making another bullish run towards breaking the old S&P 500 closing record of 7,609 set on 2 June. For next week the big economic numbers come on Thursday with GDP and Mays Core PCE Price Index numbers. For TSP TIPS the I and S funds sit at the top of the Performance Ranking leaderboard respectively, closely bunched within 0.5% of each other. Both also have maxed out Composite Scores of 100, and both set new record highs this week along with both gaining over 1%. As such, well stay with our current investment mix allocations, but primed for a new recommendation as we close out the first half of the year at the end of June.