{"id":5368,"date":"2024-03-19T10:51:19","date_gmt":"2024-03-19T14:51:19","guid":{"rendered":"https:\/\/www.bushwealthmanagement.com\/?p=5368"},"modified":"2024-03-19T10:51:22","modified_gmt":"2024-03-19T14:51:22","slug":"market-commentary-03-19-2024","status":"publish","type":"post","link":"https:\/\/www.bushwealthmanagement.com\/market-commentary-03-19-2024\/","title":{"rendered":"Market Commentary 03\/19\/2024"},"content":{"rendered":"\n

The Markets<\/strong><\/p>\n\n\n\n

Here\u2019s the tea on stock markets and presidential elections.<\/p>\n\n\n\n

Last week, a slew of headlines mentioned stock market bubbles and frothy valuations. The implication was that markets might be headed lower because they\u2019ve risen so high. Last Wednesday, Lewis Krauskopf of Reuters<\/em> reported:<\/p>\n\n\n\n

\u201cSome market participants believe the relentless U.S. stock rally is poised for a breather, even if it remains unclear whether equities are in a bubble or a strong bull run. The benchmark S&P 500\u2026is up over 25% in the last five months, a phenomenon that has occurred just 10 times since the 1930s, according to BofA Global Research\u2026the S&P has already made 16 record highs this year, the most in any first quarter since 1945, CFRA Research data showed.\u201d<\/p>\n\n\n\n

By the end of last week, we\u2019d seen 17 record highs for the Standard & Poor\u2019s (S&P) 500 Index.<\/p>\n\n\n\n

If there is a market downturn this year, election sentiment is likely to be one of the reasons for the move. \u201cMarket moves during election years do tend to follow a similar pattern\u2014declines leading up to early November, then a surge through year end once the winner is revealed.\u201d While past performance does not guarantee future results, the S&P 500 has typically finished presidential election years higher, reported Nicholas Jasinski of Barron\u2019s<\/em>.<\/p>\n\n\n\n

Despite the historic record, election rhetoric can make it difficult to remember that markets are efficient and adjust to changing risks. While election sentiment may sway stock markets over the shorter term, global economic growth, company fundamentals, central bank policies, and other factors, such as \u201cthe implications of the artificial intelligence [AI] boom on corporate earnings\u201d are likely to matter more over the longer term, reported Jasinski.<\/p>\n\n\n\n

No matter how emotional the election becomes, remember that your portfolio was built to meet your financial goals. If your longer-term goals and risk tolerance have not changed, making significant portfolio changes because of worries about the election outcome is not a sound idea.<\/p>\n\n\n\n

That said, if you\u2019re uneasy about the election and its potential effect on your savings and investments, please get in touch. We want to hear about your concerns and will help you identify potential solutions.<\/p>\n\n\n\n

Major U.S. stock indices finished last week with mixed results. The bond market retreated amid inflation pressures, and U.S. Treasury yields moved higher over the week.<\/p>\n\n\n\n


Data as of 3\/15\/24<\/strong><\/td>		1-Week<\/strong><\/td>YTD<\/strong><\/td>1-Year<\/strong><\/td>3-Year<\/strong><\/td>5-Year<\/strong><\/td>10-Year<\/strong><\/td><\/tr>
Standard & Poor’s 500 Index<\/td>-0.1%<\/td>7.3%<\/td>31.5%<\/td>8.8%<\/td>12.6%<\/td>10.7%<\/td><\/tr>
Dow Jones Global ex-U.S. Index<\/td>-1.0<\/td>2.9<\/td>15.4<\/td>-1.5<\/td>3.2<\/td>2.1<\/td><\/tr>
10-year Treasury Note (yield only)<\/td>4.1<\/td>N\/A<\/td>3.5<\/td>1.6<\/td>2.6<\/td>2.7<\/td><\/tr>
Gold (per ounce)<\/td>-0.4<\/td>4.1<\/td>12.5<\/td>7.9<\/td>10.7<\/td>4.6<\/td><\/tr>
Bloomberg Commodity Index<\/td>1.2<\/td>0.6<\/td>-2.9<\/td>4.9<\/td>4.0<\/td>-3.0<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

S&P 500, Dow Jones Global ex-US, Gold, Bloomberg Commodity Index returns exclude reinvested dividends (gold does not pay a dividend) and the three-, five-, and 10-year returns are annualized; and the 10-year Treasury Note is simply the yield at the close of the day on each of the historical time periods. <\/p>\n\n\n\n

Sources: Yahoo! Finance; MarketWatch; djindexes.com; U.S. Treasury; London Bullion Market Association.<\/p>\n\n\n\n

Past performance is no guarantee of future results. Indices are unmanaged and cannot be invested into directly. N\/A means not applicable.<\/p>\n\n\n\n

WHAT DO YOU KNOW ABOUT THE ECONOMIC POWER OF WOMEN? <\/strong>For decades, the number of women in the U.S. workforce has increased, yet the gender pay gap persists. White women who work full time earn about 84 cents for every dollar men earn, and earnings are even lower for women of color and women with disabilities. Despite the gap, the economic power of women is growing.<\/p>\n\n\n\n

\u201cWomen\u2026start more businesses than their male counterparts. They earn as much or more than their husbands in 45 percent of heterosexual marriages. Among solo households, they own more homes. And by the end of this decade, a 2020 study by the business consulting firm McKinsey found, women are poised to control much of the $30 trillion in wealth expected to be possessed by baby boomers,\u201d reported Brittany Shammas of The Washington Post<\/em>.<\/p>\n\n\n\n

See what you know about the economic power of women by taking this brief quiz.<\/p>\n\n\n\n

    \n
  1. What percentage of the billionaires in the United States are women, according to MillennialMoney?
    1. About 2%<\/li><\/ol>
      1. About 12%<\/li><\/ol>
        1. About 32%<\/li><\/ol>\n
            \n
          1. About 50%<\/li>\n<\/ol>\n<\/li>\n<\/ol>\n\n\n\n