Welcome to our November 2024 Market Update!
In all honesty, this has got to be one of the biggest financial weeks for the markets in my career. The obvious events are the national elections here in the U.S., and also the Federal Reserve meeting on interest rates followed by whether or not China will provide more stimulus to their markets.1
Because of these, part of me contemplated waiting to get this video out but then common sense kicked in! What do I mean? According to several sources, we may not find out complete results right away.2
For the month of October, the market declined about a percent.3 I believe this is the first such month we have seen in quite a while, and may be due to these elections and uncertainty.
I still feel we’ve had a banner year in stocks, so it’ll be exciting to see where we end. On that point and following a strong year in 2023, I believe there may be more capital gains to consider for tax reasons as it may be prudent to take some of the proverbial chips off the table now and again.
Debt markets present a different story as the 10-Year US Treasury has steadily climbed higher following the Federal Reserve rate cut in September.4 It has moved up 72 basis points, or almost one full percent from the lows.4
Precious metals, as evidenced by Gold, added another 2% in October.5 As many of you know, I speak with a lot of clients and money managers and on this topic and I am hearing a question asked a few times: is it time to take some profits in metals? Look, I don’t think it’s ever wrong to take a profit but in this case, I believe precious metals may offer a hedge against the ever-rising supply of U.S. government debt and the constantly-weakening U.S. dollar. I feel that while this debt bubble persists, other investments may do well but I feel most comfortable owning metals while this is going on. In my opinion, these are my “meaningful” anecdotes to a portfolio!
(Take a deep breath) Now it’s time to take a deep breath! The world will go on and we’ll all be fine. That is so much easier to say than believe, and if it begs any questions, concerns or feedback please use me as a resource…I’m here for you however I can help.
Thank you for your ongoing support and enjoy a wonderful Thanksgiving for you and your family!
Successfully,
Tim Truebenbach, CFP®
Senior Vice President – Financial Advisor
Disclaimers and Sources
1 Source: CNBC, 11/3/2024, China Gears up for a big week as markets await U.S. elections and stimulus details
2 Source: Guardian, 11/5/2024, When will we know the result of US presidential election?
3 Source: Thomson ONE Reuters, S&P 500 Index, 11/5/2024
4 Source: CNBC, 11/5/2024, 10-Year U.S. Treasury performance 9/9/2024 thru 10/31/2024
5 Source: CNBC, 11/5/202024, Gold performance 9/30/2024 thru 10/31/2024
The economic forecasts set forth in this material may not develop as predicted and there can be no guarantee that strategies promoted will be successful.
Content in this material is for general information only and not intended to provide specific advice or recommendations for any individual. All performance referenced is historical and is no guarantee of future results. All indices are unmanaged and may not be invested into directly.
There is no guarantee that a diversified portfolio will enhance overall returns or outperform a non-diversified portfolio. Diversification does not protect against market risk.
The NASDAQ Composite Index measures all NASDAQ domestic and non-U.S. based common stocks listed on The NASDAQ Stock Market. The market value, the last sale price multiplied by total shares outstanding, is calculated throughout the trading day, and is related to the total value of the Index.
The S&P 500 is a stock market index tracking the stock performance of 500 of the largest companies listed on stock exchanges in the United States. Indexes are unmanaged and cannot be invested in directly.
International investing involves special risks such as currency fluctuation and political instability and may not be suitable for all investors.
Precious metal investing involves greater fluctuation and potential for losses.
Stock investing includes risks, including fluctuating prices and loss of principal.
The fast price swings in commodities will result in significant volatility in an investor’s holdings. Commodities include increased risks, such as political, economic, and currency instability, and may not be suitable for all investors.
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