Thanksgiving. It’s my favorite holiday of the year. What’s not to like about a day dedicated to expressing gratitude for the positive things happening in our lives, asks Mike Larson, editor of Safe Money Report?
Doing so is especially important in trying times like these, what with so many health-related, economic, and societal challenges confronting us.
But seeing as my focus in this column is markets, let me shift gears to that. Investors have some things to give thanks for, but others to lament, frankly.
If you just invest in stocks, you’re pretty happy. The S&P 500 (SPX) has risen 25% year-to-date, after all, while even the stodgier Dow Jones Industrial Average (^DJI) has gained 16%.
Technology names have performed even better. The Nasdaq 100 (^NDX) has risen 27%, while select subgroups like semiconductors have soared more. The Philadelphia Semiconductor Index (^SOX), for one, is up 37%.
The cryptocurrency market has taken high-performance to another level, too. Bitcoin (BTC) has almost doubled in 2021, while many other cryptos have surged much more than that.
But it hasn’t been a year to give thanks for fixed income holdings. The Vanguard Total Bond Market Index Fund ETF (BND), a benchmark bond fund with $316 billion in assets, has shed 2% YTD. Precious metals haven’t done much, either, with the SPDR Gold Shares (GLD) drifting 4% lower.
Meanwhile, I’m extremely thankful for how many “Safe Money”-style investments are performing. And I’m thankful that other income-boosting strategies like those I recently outlined are helping investors like you fight back against miserly yields.
So, what comes next? What does the rest of the holiday season, and 2022, have in the cards?
Well, inflation is still surging. Covid-19 pressures are still lingering. And the Federal Reserve is increasingly being backed into a corner on QE and interest rates.
That means we still face plenty of challenges ahead. It’s not going to be an incredibly smooth ride.
But if you continue to follow the guidance we provide at Weiss Ratings, I’m confident you’ll come out ahead. I hope and trust that’s something you’re thankful for, just as I’m incredibly thankful for your readership.
Safe Money Report focuses on these kinds of stocks, which include names in the consumer staples, food and beverage, retail, and healthcare sectors. Visit Safe Money Report here.