TommyIV's TSP Talk Blog

The dip buyers went to work this week after a poor start to September. Stocks were up early and were able to build from there despite negative headlines like Hurricane Florence, but the lack of trade news gave the bulls a reason to put money to work, that is until Friday when a mid-day Chinese tariff headline pushed the indices down temporarily. All in all the S&P 500 produced gains everyday this week after losing value everyday last week. So we are back to where we started this month as we enter the historically weaker half of September.

There is also a expected rate hike from the Fed at the end of the month where traders will be looking for clues for the likelihood of another rate hike in December and the Fed's plan for 2019. Consumer and Producer Prices Indices came a little lighter than expected giving investors reason to believe the Fed could get less aggressive.

All the TSP stock funds were up more than 1% for the week with the I-fund in the lead with a 1.78% gain. The F-fund was down 0.11% as some bond traders moved to equities for the week.




Here are the weekly, monthly, and annual TSP fund returns for the week ending September 14th:




The SPY (S&P 500 / C-fund) found support off its 20-day EMA the previous Friday which continued to hold this week and the index had a decent bounce to erase last week's losses. The highs of the week matched the rising trend that was established before the break out in August. The highs of August are just above that price so we will see if investors will have a reason to value stocks to new highs for a second time in the historically weaker trading season. The C-fund was up 1.21% for the week.




The Dow Completion Index (S-fund) had similar action but danced around its 20-day EMA a bit more than the SPY. The produced more choppy action in the index early in the week but buyers came in late in the week to give the index a 1.05% gain




EFA (EAFE Index / I-fund) bounced back nicely this week after free falling in price in late August and early September. An open gap was closed, another opened, and one more partially filled from the beginning of the month. Open gaps are common in this chart but they still have an impact on price action. The I-fund led the TSP funds with a gain of 1.78% for the week.




AGG's (Bonds / F-fund) has given back much of what it gained in August and even traded and closed below its 200-day of Friday. A rising trend line form the lows of May and July did not had much for support. We did see some resistance from the 20-day EMA which will be a concerning thought now that the index is below its 20. 50, and 200-day EMAs. The F-fund fell 0.11% for the week to lag the TSP funds.




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.


Tommy Crowley
www.tsptalk.com
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The legal stuff: This information is for educational purposes only! This is not advice or are commendation. We do not give investment advice. Do not act on this data. Do not buy, sell or trade the funds mentioned herein based on this information. We may trade these funds differently than discussed above. We use additional methods and strategies to determine fund positions.