It's impossible to forget the financial crisis of 2007-2008. Large investment banks failed, the government had to bail out financial institutions and other huge corporations, and Americans saw the values of their homes drop significantly. The Federal Reserve responded with a new economic policy, and many elements of those changes are still in place a decade later. Here are 4 basic strategies for making your money grow in our low interest rate economy.
The market continued its steady advance, albeit with fits and starts during the month. The 1.6% “correction” of May 17 – the biggest losing day of the year so far - lasted all of one day. Anyone trying to time that decline missed it if they blinked. By the end of the month, the S&P 500 was up 1.4% (8.66% YTD), thanks to technology driven names that now comprise nearly one-fourth of the index.
The bulls continued their stampede that began in November as the market continued to advance into the first two months of 2017. From a close of 2,140 on November 8, 2016, to the close of 2,364 on February 28, 2017, the market advanced a bit over 10%. The Dow followed right along. While the S&P 500 index is up 5.45% year to date through February, certain groups have underperformed, as so-called sector rotation worked its way through the market.