Weekly Economic Update for March 26, 2018
WEEKLY QUOTE “Knowledge is the eye of desire and can become the pilot of the soul.” - Will Durant TRADE WAR POSSIBILITY WEIGHS ON STOCKS Last week, the U.S. imposed excise taxes on steel and aluminum imported from select countries and announced that up to $60 billion of Chinese imports would also soon face tariffs. These protectionist moves weakened bullish sentiment on Wall Street. The S&P 500 fell steadily Thursday and Friday and had its worst week since 2016, slipping 5.95
The Medical Expense Deduction in 2018
Tax reform has lowered the threshold. If you itemize, you should note the reduced medical deduction threshold for 2018. This year, you can deduct qualified medical expenses exceeding 7.5% of your adjusted gross income. Next year, the threshold for the medical expense deduction returns to 10% of AGI. (The Tax Cuts & Jobs Act of 2018 also allowed the 7.5% threshold to apply retroactively to the 2017 tax year.)1 So, if you are considering surgery or dental work in the future tha
Weekly Economic Update for March 18, 2018
WEEKLY QUOTE “One person with a belief is equal to a force of 99 who have only interests.” - John Stuart Mill PRICE GAINS EASE There was no half-percent spike in inflation in February. In contrast to January’s big jump, the headline Consumer Price Index rose 0.2% in the second month of 2018, with the core CPI following suit; the year-over-year CPI gain ticked slightly higher to 2.2%. The headline and core Producer Price Index also increased 0.2% last month; yearly wholesale i
Weekly Economic Update for March 12, 2018
WEEKLY QUOTE “Focusing is about saying no.” - Steve Jobs FEBRUARY SAW A HIRING SURGE Payroll growth was truly impressive last month. According to the latest Department of Labor report, employers added 313,000 net new jobs, including 61,000 in the construction industry; economists polled by Reuters projected a total February gain of 200,000. With the labor force participation rate reaching a 6-month high, the headline jobless rate stayed at 4.1% and the broader U-6 rate at 8.2
Planning for Retirement? Why You Want Your Plan In Writing
Setting a strategy down may help you define just what you need to do. Many people save and invest vaguely for the future. They know they need to accumulate money for retirement, but when it comes to how much they will need or how they will do it, they are not quite sure. They will “wing it,” hope for the best, and see how it goes. How do they know they are really contributing enough to their retirement accounts? Would they feel less anxious about the future if they had a writ
Weekly Economic Update for March 5, 2018
WEEKLY QUOTE “Prejudice is the child of ignorance.” - William Hazlitt CB: PLENTY OF CONFIDENCE IN THE ECONOMY The Conference Board’s monthly consumer confidence index soared to 130.8 in February – the highest reading seen since November 2000. In January, the gauge was at 124.3. (In the middle of the Great Recession, the index hovered near 25.)1 SOLID READINGS ON SOME KEY INDICATORS Further fundamental economic data released last week looked strong. Personal incomes improved 0
