Day 70: The market is going higher
The Mother's Little Helper Portfolio was DOWN today (-0.44%) for a LOSS of
-$2,772.96. The portfolio's overall GAIN to date is UP +$26,107.09 (+4.32%).
On December 27, 2016 (the day I selected the portfolio) the S&P 500 was at 2,268.88. The S&P 500 closed today at 2,375.31 for a GAIN of +106.43 (+4.69%).
On March 10th the monthly employment numbers come out, the last piece of data Janet Yellen is waiting on to pull the trigger on hiking interest rates. On March 15th the Fed will announce a decision, which I think will be a rate increase. Keep in mind that rates will still be at historically low levels. The market will initially sell off on interest rate fears and then the buyers will come out. The sell off is always unwarranted, especially since higher rates will mean greater profits for the banking industry. Most of the buying money will flow from the bond markets to the stock market as the increase in interest rates will drive bond values lower. This is the setup that will drive the stock market to the next rung on the ladder.
Stay Invested
Clay Baker
