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In any crisis, “playing it safe” to avoid losing your money can seem like the only rational strategy. However, in the past 60 years, we’ve seen repeating patterns of crises. Despite these crises, the market has been resilient. The Dow Jones Industrial Average rose from 679 points in 1959 to over 36,000 in January 2022.* Regardless, of the type of crisis, history shows that long-term investors who stayed the course through crises and didn’t lose sight…

A recession is a significant decline in economic activity spread across the economy, lasting more than a few months, normally visible in real GDP, real income, employment, industrial production, and wholesale-retail sales (National Bureau of Economic Research). We’ve already seen one quarter of economic decline, but whether we cross the technical threshold of a recession is inconsequential. For most investors, recession fears are rooted in their association with downward markets. Historically, a bear market has accompanied,…

The Social Security Statement Gets a Makeover – The personal Social Security statement, created to help Americans understand the Social Security benefits they might be entitled to, has been redesigned for the first time. The new statement is shorter, uses visual elements and plain language, and includes fact sheets tailored to a person’s age and earnings history. Page one contains personalized estimates of retirement, disability, and survivor benefits, along with a bar chart showing projected monthly…

Inflation: What’s Next? Inflation is on a tear, notching the fastest 12-month increase in almost 40 years.  From November 2020 to November 2021, inflation — as measured by the Consumer Price Index for All Urban Consumers, or CPI-U — increased a total of 6.8%, with the highest monthly increases coming in April, June, October, and November. U.S. Monthly Inflation over the course of one year: November 2020 – 0.2%, December 2020 – 0.2%, January 2021 –…

Is the Russia-Ukraine War a Threat to the Global Economy? Before Russia stunned the world by invading Ukraine, it was widely believed that the economic ties formed through globalization would help promote peace. But the war is testing that assumption and drawing attention to the vulnerabilities in far-flung supply chains, which were already under pressure because of the pandemic and recovery. In response to the brutal invasion of Ukraine, the United States, European Union (EU), United…

This year we’re celebrating International Women’s Day on March 8. In 1920, women fought for the right to vote. In 1974, single and divorced women were finally able to secure a credit card without needing a male cosigner. While we’ve made many strides, this day reminds us that there is still a long way to go to ensure equality for all women everywhere. Take time today to appreciate the women in your life and the hard…

It can be easy to overlook the nation’s solid economic fundamentals when the financial media splashes stories every day about an army of amateur traders, short-selling mania, and initial public offerings (IPOs) that double in price on the first day of trading. But a recent survey by The Wall Street Journal showed just how upbeat economists are about 2021.1 Here’s a quick summary of the highlights. Increased projected economic expansion. Economists now expect the economy to expand…

At this time last year, it was still unknown that a deadly global pandemic was on the rise, eventually stalling economic growth and sending crude oil prices into negative territory. But recently, oil prices have surged, with crude hitting highs not seen since before the pandemic. A hopeful sign Recent production cuts and a belief in the potential for underlying economic growth are spurring a rally. Although the demand for oil is still lower than normal,…

Recently, Jeff Bezos, one of the wealthiest people in the world, announced he would take a different role at his company. Corporate moves make the news all the time, but for the largest companies, the story can jump from the business page to the front page.1,2 It’s understandable to wonder how this might impact you. It might appear like the start of something bigger or the first domino, so to speak. But corporations like Bezos’ go…

While many in the United States are beginning to receive vaccinations and people are starting to foresee a life after COVID-19, it remains clear that things aren’t yet back to normal. As a result, there has been a great deal of speculation about Congress putting forward an economic stimulus, covering the needs of both individuals and businesses. While some businesses are opening in a limited capacity, it doesn’t make ends meet for both small businesses who…