Watch the CPK Market Action Report: December 2019

Trade talks, economic reports and the federal reserve all have the markets on the move. What impact is this all have on your investments?

Watch the full 3-minute Market Action Report now:

December 2019

Trade talks, economic reports and the federal reserve all have the markets on the move. What impact is this all have on your investments?

That action starts, NOW!

The S&P 500 gained 3.4 percent last month. November saw the biggest increases for investors since June. The Dow Jones Industrial Average rose 3.72 percent; the Nasdaq Composite added 4.5 percent.

Are the U.S. and China close to signing off on the first phase of a new trade deal? According to officials from both countries, the answer was yes. China’s commerce ministry announced that trade representatives “reached a consensus” on remaining issues, and President Trump said that negotiators were in the “final throes of a very important deal.” November ended without any announcement that a phase-one pact had been reached.

Economists noted a 0.4-percent jump for the Consumer Price Index in October, but it still left annualized inflation at a manageable 1.8 percent. The core CPI, which strips out volatile food and energy costs, rose at a 2.3-percent year-over-year rate through October.

Minutes from the Federal Reserve’s October policy meeting were released on November 20, and they indicated that central bank officials were prepared to stand pat, at least for a while.

The latest economic indicators were generally positive. Companies hired 128,000 net new workers in October. That was better than estimates. Retail sales were up 0.3 of a percent, which reversed the prior month’s drop. The Conference Board’s Consumer Confidence Index fell, and the Institute for Supply Management’s manufacturing index showed factory activity rising half a point.,

So, for the month of November, I continue to focus primarily on domestic equities with a narrow interest in international equities. I’m also still holding a small cash position in my models as I remain cautiously optimistic.

Within Domestic Equities, I will continue to focus on Large Cap Growth, Mid Cap Growth and Small Cap Growth; but have narrowed my attention to just the Technology and Industrial sectors.

As for International Equities, I am keeping my focus on European Emerging Markets and switching out Asia-Pacific Emerging Markets for Asia Pacific Developed Markets.

The short-term economic outlook has shifted a bit; anxieties about a recession arriving in 2020 have lessened. There is optimism that the U.S. and China may still reach a phase-one trade agreement and the Federal Reserve appears comfortable with its current monetary policy stance.

As a reminder, nothing I shared with you today is a recommendation. My interests may change throughout the month as I continue to monitor economic and geopolitical conditions.

Regardless of what happens next, investors like you need to have a simple and yet solid financial plan that reduces

RISKS, COSTS & TAXES while securing the necessary income you need to maintain your lifestyle throughout retirement.

If you don’t have a plan, OR you’re not comfortable with the plan you have, call me today to get pointed in the right direction.

I'm Chad Kunc, and that puts a wrap on the December 2019 Market Action Report.

Thanks for joining me. It’s time for me to get back to the markets. And that action starts, NOW!

If you don’t have a plan, OR you’re not comfortable with the plan you have, call me today to get pointed in the right direction.

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