Despite Crises, Economic Fundamentals Are Strong
Published Friday, March 15, 2019 at: 7:00 AM EDT
Europe's economy slowed sharply, a U.S.-China trade war loomed, fears of a real war with North Korea grew, while U.S. politics sank deeper into chaos, and a gunman massacred at least 49 innocents attending services at a Christchurch, New Zealand mosque, even as they prayed. It was a week of crises.
Since 1957, the internal rate of return on American stocks has been 6.9%, and there were plenty of crises all along the way.
The Standard & Poor's 500 stock index closed at 2,822.48 on Friday, up sharply from 2,743.07 a week ago, and rebounding the close of 2,803.69 two weeks ago.
A key growth investment in a broadly diversified portfolio, the S&P 500 index is volatile, unpredictable, and suffered a 19.8% plunge from September 20th's all-time closing high to the Christmas Eve closing low of 2,351.10. Despite a week when the world seemed full of crisis, U.S. stocks endured and the uncertain struggle toward progress — which can never be guaranteed — continued at its seemingly relentless pace.
This article was written by a veteran financial journalist based on data compiled and analyzed by independent economist, Fritz Meyer. While these are sources we believe to be reliable, the information is not intended to be used as financial or tax advice without consulting a professional about your personal situation. Tax laws are subject to change. Indices are unmanaged and not available for direct investment. Investments with higher return potential carry greater risk for loss. Past performance is not an indicator of your future results.
© 2021 Advisor Products Inc. All Rights Reserved.
- How Misperceptions Spread And Cause Confusion On Money Matters
- Real Spending Power Grew Twice The Rate Of The Last Expansion
- Global Growth Forecast Slows, But U.S. Outlook Remains Stable
- How Long Does It Take To Be A Long-Term Investor?
- Five Observations About The CBO's New Long-Term Debt Forecast
- Fed Apology, Strong Job Growth Bolster Stocks
- Be Prepared For Tax Policy To Swing Back
- Despite Grim Headlines, Economic Growth Is Intact
- Business Owners: Avert Obstacles To Tax Savings
- Despite December Turbulence, Economy And Business Optimism Were Strong
- 7 Tax Breaks Eliminated Or Curtailed
- Latest Forecasts Show Economy Is Doing Okay
- A Poignant Moment In Financial History Sparks Stocks
- Sun Starts Setting On Solar Tax Credit From Uncle Sam
- 'Twas The Last Trading Day Before Christmas