Monthly Archives: November 2017

Do You See a Bat or a Butterfly?

Many tax advisors look at this Rorschach ink blot and see a bat or a butterfly. Not CTS Financial Group.

Getting to know your unique personality and understanding your business helps us view tax planning and preparation with a creative eye and an open mind. To show you we’re not missing the point, with every new client referral, you will receive $50 off your tax preparation services as will the new client you refer. Drop us a quick email if you know someone who may benefit from CTS Financial Group’s services by clicking here.

The Weekly Update

Week of November 27, 2017
By Christopher Much, CFP®, AIF®

Last week was a relatively quiet time in the domestic markets. We did not receive a tremendous amount of economic data, and trading halted Thursday for the Thanksgiving holiday. Nonetheless, all 3 of the major domestic indexes experienced sizable gains in only 4 trading days. By Friday, the S&P 500 added 0.91% and closed above 2,600 for the first time in its history. The Dow was also up 0.86%, and the NASDAQ gained 1.57%. International stocks in the MSCI EAFE had a 5-day trading week and grew by 1.85%.

A variety of factors contributed to this performance—from growth in the tech sector to increasing crude oil prices. But a specific event also helped push stocks higher: Black Friday.

The Black Friday Effect

What happened on Black Friday this year?
In the U.S., Black Friday is big business. The day after Thanksgiving …

The Economics of Thanksgiving: Infographic

As a quantitative group of people, we are always fascinated by the numbers. Download our latest infographic, The Economics of Thanksgiving, for a quick overview of how this significant holiday impacts our economy.

Wishing you and yours a Happy Thanksgiving. Take a look.

The Weekly Update

Week of November 20, 2017
By Christopher Much, CFP®, AIF®

Domestic stock performance varied last week, with the S&P 500 and Dow losing ground for the 2nd straight week, while the NASDAQ posted gains. By Friday, the S&P 500 had dropped 0.13%, the Dow gave back 0.27%, and the NASDAQ gained 0.47%. International stocks in the MSCI EAFE stumbled, dropping 0.67%.

Tax reform remained a key focus in the markets, as investors questioned whether changes will happen by the end of 2017. The markets have largely priced in expectations that tax reform will move forward, a belief that has helped drive this year’s record prices. Treasury Secretary Mnuchin expects the President to receive a bill by Christmas, but despite his update, concerns about meeting this deadline remain. This uncertainty—combined with questions about differences between the House and Senate plans—has contributed to the market volatility we’ve seen in recent weeks.

While …

The Weekly Update

Week of November 13, 2017
By Christopher Much, CFP®, AIF®

After posting gains every week since September, U.S. stocks declined by market’s close on Friday. The S&P 500 and Dow ended their longest stretch of weekly increases since 2013, and the NASDAQ ended its own 6-week streak. By November 10, the S&P 500 declined 0.21%, the Dow was down 0.50%, and the NASDAQ slipped 0.20%. Meanwhile, the MSCI EAFE dropped by 0.45%.

While these declines are not huge, understanding why stocks dropped after several weeks of steady gains is important. The markets are incredibly complex, so we cannot point to one single detail that drove their performance. We can, however, help you gain insight into what influenced investors’ decisions.

The Market’s Drop in Context
In many ways, uncertainty is to blame for last week’s losses, from a variety of angles:

• Healthcare: Equities dropped as companies continue to analyze changing dynamics …
  

The Weekly Update

Week of November 6, 2017
By Christopher T. Much, CFP®, AIF®

Once again, the markets ended the week in positive territory—and all 3 major domestic indexes hit new record highs. The S&P 500 added 0.26%, and the Dow was up 0.45%, with both indexes notching their 8th straight week of growth. The NASDAQ was up for the 6th week in a row with a 0.94% gain. International stocks in the MSCI EAFE joined in the growth, posting a 0.90% increase.

Why did markets continue to perform well last week? In part, economic data, political developments, and policy decisions gave investors a variety of details to digest.

Perspectives We Gained Last Week

1. Tax Reform
The House of Representatives released a long-awaited tax-reform bill on November 2, which included several changes to current laws. If passed, this legislation would reduce the corporate tax rate to 20% while cutting in half the mortgage-interest …