Money Talks – April 28, 2018

This week on “Money Talks,” Chief Economic Adviser Roger Tutterow, Ph.D., joins Chief Investment Officer Troy Harmon, CFA, CVA, and Managing Associate K.C. Smith, CFP®, to discuss the week’s economic releases, including the S&P CoreLogic Case-Shiller Home Price Index, both new and existing home sales, and the Conference Board’s Consumer Confidence reading. The experts delve deeper into the economic reports, looking at the yield curve of U.S. Treasury bonds, and how close the curve has come to inverting. They also discuss fiscal policy and what it may mean for our economy. The hosts also answer listeners’ questions on using life insurance for expenses if one becomes terminally ill, how gas prices are rising and if that is a harbinger of a recession, and how an investor can begin to estimate their spending needs in retirement. They also answer a stock question on Bemis Company, a manufacturer of packaging products.

Market Roundup: Lackluster Earnings Leads to Relatively Flat Week for Equities

Indices kicked off the last full week of April mixed with Dow Jones Industrial Average and the NASDAQ Composite ending the session fractionally lower while the S&P 500 index added marginal gains. Trading was fairly flat despite a variety of economic news. Tuesday saw a slight decline led by Industrials. Consumer confidence ticked up in April, as the Conference Board data showed sentiment increased 1.7 points to 128.7 versus a consensus estimate of 126. In housing news, new single-family home sales climbed to 694,000 in March versus expectations of 630,000. Wednesday had mixed results as the Dow and the S&P 500 ticked up while the tech-heavy NASDAQ shed some points. The yield on 10-year U.S. Treasury bonds surpassed 3.0% for the first time in several years, but ultimately fell back to where yields began the week. Indices ticked up on Thursday with help from positive earnings in the Technology sector. Friday’s trading ended relatively flat. The advance estimate for first quarter 2018 gross domestic product showed economic growth at an annual rate of 2.3%. Crude oil hit a four-year high during the week, but by Friday, West Texas Intermediate crude settled at $68.26 a barrel.

Q&A Time: Rising Gas Prices, Life Insurance Uses, Estimating Retirement Spending and More

The “Money Talks” hosts also answer listeners’ questions on using life insurance for expenses if one becomes terminally ill; how gas prices are rising and if that is a harbinger of a recession, and how an investor can begin to estimate their spending needs in retirement. They also answer a stock question on Bemis Company, a manufacturer of packaging products.

Stocks are a Long-Term Investment; Short-Term Volatility Shouldn’t Matter

It’s your money and your financial future you’re watching decline. Bil Lako, CFP®, explains that it’s the actions that you take during that volatility that define you as an investor. Read more in today’s Marietta Daily Journal This article is for demonstrative and academic purposes and is meant to provide valuable background information on particular…