TommyIV's TSP Talk Blog

Stocks began the week with a higher open on Monday. Thereafter, the S&P 500 remained above last week's close but action was mixed intra-week as we've been used to lately while indices are trading near their highs. Stocks jumped higher Friday following Fed Chairman Jerome Powell's message that the Fed plans to keep the rise of interest rates gradual despite the heat of the growing economy. Investors jumped into stocks and the S&P 500 broke into a new high to end its longest streak without reaching new highs in two years.

Solid earnings reports also contributed to keeping indices up throughout the week. Political drama in the white house was a concern for traders but it never really materialized in the markets. Traders are focused on the economy and finding opportunities to make money while the bull market is strong.

The TSP funds were green across the board. The F-fund lagged with an increase of 0.27% against the leading S-fund which was up 1.81%.




Here are the weekly, monthly, and annual TSP fund returns for the week ending August 24th:




The SPY (S&P 500 / C-fund) continued the momentum of the bounce off its 20-day EMA from the previous week. The index reached a new high Friday and still has room above before reaching its rising resistance of its trading channel. There is an open gap still open from the previous week but the index will have to fall below its 20-day EMA to fill it. The C-fund was up 0.88% for the week.




The Dow Completion Index (S-fund) finally traded above the highs of June that had been the cap of this index repeatedly since. The index was up early in the week and ended the week just off its highs. The S-fund was up 1.81% to lead the TSP funds for the week.




EFA (EAFE Index / I-fund) made a move up this week as it attempts to recover the damage of early August. The index is within an open gap from early August it is trying to fill but it will have to make it back above its 200-day EMA to do so. It also has possible falling resistance that may have kept the index from further progression. Two open gaps sit below that may be unattractive to new buyers. The I-fund was up 1.57% for the week outperforming the C-fund.




AGG (Bonds / F-fund) followed stocks this week and rose throughout the week to keep up its latest momentum. Reports suggesting that economic growth may be slowing down brought attention to bonds that led to a drop in yields. A slow down in the economy and inflation would increase the spending power of the long-term return of bonds. The F-fund was up 0.27% for the week.




Good luck and thanks for reading. We will be back here next week with another TSP Wrap Up. You can read our daily market commentary at the Market Comments page. If you need more help deciding what to do with your account, perhaps one of our Premium Services can help.


Thomas A Crowley
www.tsptalk.com
Weekly Wrap-Ups Archive
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