Clarksville Weekly Market Snapshot from Frazier Allen for the week of December 17th, 2017
December 17, 2017
Clarksville, TN – As expected, the Fed raised short-term interest rates for the third time in 2017 (market participants were more focused on the progress of tax legislation).
The dots in the dot plot did not shift much from where they were in September and were all over the place for the end of 2018 and 2019 – meaning that there is no clear consensus on the pace of policy action (and bear in mind that personnel changes mean that many of these dots will be replaced in 2018).
Frazier Allen: Do Risk and Retirement Mix?
November 29, 2017
Clarksville, TN – Adding more stocks to your income plan may help offset low interest rates and inflation.
We live in unusual times, with interest rates at historical lows but likely to rise in the not-too-distant future, stocks trading at what some consider elevated levels driven by a years-long bull market, and investors scouring the pronouncements of central banks for clues to what may happen next.
However, one thing remains unchanged – those in or near retirement still have to map out a prudent strategy for generating income in the years ahead.
Frazier Allen: Retirement Readiness Takes Getting in Step
April 17, 2017
Clarksville, TN – When Fidelity Investments asked couples how much they think they will need to save for retirement to maintain their current lifestyle, 48% had “no idea.”
Forty-seven percent disagreed on the amount needed (the disagreement highest among those closest to retirement). In some ways, that’s not surprising – many couples disagree on financial and lifestyle matters long before they’ve stopped working. But while adjustments (hopefully) can be made and differences resolved, things can become more difficult in retirement.
Clarksville Weekly Market Snapshot from Frazier Allen for the week of November 7th, 2016
November 7, 2016
Clarksville, TN – The Federal Open Market Committee left short-term interest rates unchanged, as expected, and the policy statement was a near photocopy of the one in September.
The FOMC noted that “the case for an increase in the federal funds rate has continued to strengthen,” but for the time being, officials decided “to wait for some further evidence of continued progress towards our objectives.”
The October Employment Report was largely in line with expectations. Nonfarm payrolls rose by 161,000 (median forecast: +175,000), but the two previous months were revised a net 44,000 higher.
Clarksville Weekly Market Snapshot from Frazier Allen for the week of November 2nd, 2016
November 2, 2016
Clarksville, TN – Real GDP rose at a 2.9% annual rate in the advance estimate of third quarter growth, a bit on the high side of expectations. However, the economy was not as strong as the headline figure suggests (similarly, growth over the four previous quarters was not as weak as the GDP number implies).
Inventories, which had been slowing over the five previous quarters (subtracting from GDP growth), rose at a faster pace (adding 0.6 percentage point to overall growth). Net exports (a narrower trade deficit) added 0.8 percentage point.
Clarksville Weekly Market Snapshot from Frazier Allen for the week of October 28th, 2016
October 28, 2016
Clarksville, TN – The recent economic data reports have done little to alter the overall picture (moderate growth, low inflation). The Fed’s Beige Book noted that economic activity has continued to expand, with most Fed districts describing growth as “modest” or “moderate.”
In mid-September, nine of the 12 district banks had requested an increase in the discount rate (the rate the Fed charges banks for short-term borrowing) – one more than in late July – suggesting internal pressures for higher short-term interest rates at the Fed.
Clarksville Weekly Market Snapshot from Frazier Allen for the week of October 19th, 2016
October 19, 2016
Clarksville, TN – Minutes of the September 20-21 policy meeting showed that Federal Open Market Committee members were divided on whether to raise short-term interest rates, and most of those voting to wait felt that it was “a close call.”
Financial markets have increasingly priced in a mid-December rate hike. Amid a thin economic calendar, investors focused on what’s happening in the rest of the world, but also reacted to the initial earnings reports for 3Q16.
Clarksville Weekly Market Snapshot from Frazier Allen for the week of October 9th, 2016
October 9, 2016
Clarksville, TN – The economic data were mixed. The ISM surveys both surprised to the upside, suggesting that the August slowdown was temporary. Unit auto sales were down from a year ago, but up relative to August on a seasonally adjusted basis.
Nonfarm payrolls rose a bit less than expected, while the unemployment rate ticked modestly higher – the start of the school year makes the September figures suspect, but the underlying trends suggest further improvement in overall labor market conditions.
Clarksville Weekly Market Snapshot from Frazier Allen for the week of October 2nd, 2016
October 2, 2016
Clarksville, TN – The economic data were mixed. Consumer confidence rose in September. Durable goods orders were mixed. The estimate of 3Q16 GDP growth was revised higher (to a 1.4% annual rate, held back by a sharp slowing in inventory growth).
Personal income rose modestly in August, as expected, but spending was softer than anticipated, suggesting a possible loss of momentum following a strong spring and early summer (economists’ estimate of GDP growth were revised down for both 3Q16 and 4Q16).
Frazier Allen: Are You Ready for an Encore Career?
September 24, 2016
Clarksville, TN – Four and a half million. That’s how many retired Americans, over age 50, decided to go back to work or take on part-time volunteer roles after retiring. And there are another 21 million who say they’re ready to join them, according to a 2014 Encore Career survey.
The reasons vary. Some want to make the most of their talents; some want social interaction; still others seek to keep their minds sharp and their bodies busy. The extra money doesn’t hurt either, especially since there are several unknowns that can cloud your retirement picture (e.g., longevity, inflation and long-term care needs).