
Dogwood Wealth Management | Weekly Newsletter (Week Ending 11/18/22)
InvestingWeek In Review
Economy
Before we jump into the regularly scheduled e-mail, know that we are always looking for ways to add value to our clients' lives. To that end, this is a reminder to start thawing your Thanksgiving turkey now.
There's not much on the calendar next week in the way of economic news or reporting with a shortened work week.
Markets
The S&P 500 had a fairly uneventful week, ending the week down 0.69%. The lack of volatility was a nice change of pace. Since the October 12 lows, the S&P has risen by nearly 11%. This run we've been on in the last month or so may invoke memories of the rally we saw in the summer. Previously, the market had bottomed mid-June, then rallied by 17% through August, before fizzling out and giving back all of those gains to set a new low in October. That was without a doubt one of the more brutal bear market rallies ever as it marked the first time in history the stock market had gained back more than 50% of the losses of a bear market, only to later set a new low.
We're at the end of earnings season for the third quarter. About 70% of S&P 500 companies have beaten their earnings expectations, however, the expectations were set pretty low going in to earnings season with fears of higher inflation and recessionary headwinds. For the year, the S&P 500 is down about 17%.
What We're Reading
- *Shameless Plug* High Five - The Dogwood Blog
- Household Debt Soars at Fastest Pace in 15 Years - CNBC
- Holmes Gets 11 Years - WSJ
- Don't Borrow Money to Invest - Tadas Viskanta