What a different a month (or two) can make. Here is our March 2016, all new…trendy format Monthly Capital Market Review and last minute tax tips, along with a Video for your viewing and listening pleasure. Hope you are enjoying!
March 2016 Video
Final Reminder Tax Tip
As Moto Moto said in Madagascar, these tips are so good we had to say them twice!
Our favorite tax savings ideas that still work for last year (2015 taxes):
- Itemize your standard tax deduction
- HSA- Health Savings Account
- Fund an IRA
- Simplified Employee Pension – SEP deduction/contribution against non W-2 income (1099)
Tax Fraud Alert
As noted here, last month we had our first incidence of fraud in February. We are now up to 9.5 so far, as we have one incident that we think was fraud, but could not be proven!
Be sure to keep your guard up!
Economic Update
PMI Manufacturing Index
PMI (Definition: The ISM manufacturing composite index indicates overall factory sector trends. The relevance of this indicator is enhanced by the fact that it is available very early in the month and is not subject to revision.) Graph from our friends at Econoday.
Less than 50 is contraction, greater than 50 is growth.
Employment Situation
While there was a small increase in unemployment claims late in March, the overall employment picture, via hiring, as can be seen below, again from our friends at Econoday, remains steady. It is worth noting, these reports can be volatile.
Capital Markets Update
Updated Support and Resistance
This Graph, included in our Newsletter, shows the updated Support and Resistance lines and levels of the current market.
As mentioned in our Yellen Speaks post, after telling capital market participants that slower rate increases were more likely (late 2015 she told the world to expect four increases, now only two) capital markets smartly broke through the lower upper resistance. Now, can we go to new highs ? Maybe …
Never go all in or all out !
Oil and Market Correlation Chart
For those that think oil does not affect the sentiment and capital markets, look at this chart from Liz Saunders :
Sorry for the motor mouth/fingers … there were a lot of moves worth noting, especially very near the end of the month !
Have a Great Day!
See you again at the end of April !
John A. Kvale
April 2016 Video, Economic and Capital Market Monthly Review, By John Kvale
Here is our April 2016, all new…trendy format Monthly Economic and Capital Market Review, along with a Video for your viewing and listening pleasure. Hope you are enjoying!
April 2016 Video
Financial Planning Tip – The Estate Plan
Estate Docs Summary
Recently we came across the fact that we did not have a post with a summary of Estate Planning Docs. Here is a link to the detailed explanation of each.
The documents needed:
A good Estate Plan will likely include most of these documents.
Economic Update
US Dollar Takes a rest
After a scorching run (much stronger) in 2014 and early 2015, the US Dollar has slowed it’s ascent. While travelers abroad have enjoyed a stronger translation of currency, headwinds have occurred in many other ways.
GDP Update
The first Quarter of 2016, Gross Domestic Production (the broadest measure of economic growth/production) was revised to .5%. The Federal Reserve members want this much higher, think 2% plus.
As can be seen this number is volatile and for some reason has been showing a rather weak first quarter reading the past several years.
Two consecutive negative readings of GDP are the definition of a recession.
Capital Markets Update
Commodities
After dropping to $26 and change in February, oil breached $45 a barrel this latest month. It is highly possible that when we look back on the affects of this extremely low oil price had on our economy, it MAY have been much greater than we ever expected.
Oil related tentacles may have gone much more broad than measured. Another benefactor of the stable/weaker US dollar.
International Markets
Little brother international markets, more commonly known as Emerging Markets may be getting their feet under them. Tossed out and left for dead, these markets may have the strongest long term growth potential in the world.
Have a Great Day!
See you again at the end of May !
John A. Kvale
Founder of J.K. Financial, Inc.
A Dallas Texas based fee only
Financial Planning Total Wealth
Management firm.
www.jkfinancialinc.com
www.street-cents.com
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Posted in Economy, Investing/Financial Planning, Market Comments, Monthly Review, Video
Tagged Econoday, Estate Planning, GDP, POA, Power of Attorney, Trust, Will