"Now what?" say the markets - Plus two major retirement survey numbers don't add up!
What’s in this week’s Report:
?·???????Now What??Updated Market Outlook
·????????Weekly Market Preview:?Will Yields Keep Rising?
·????????Are Junk Bonds Signaling an Imminent Recession? No
·???????2 Retirement Surveys Tell Dramatically Different Stories
Economic data was sparse and the only notable report was EU M3 money supply, which rose less than expected (3.5% vs. (E) 3.9%).
Geopolitically, fears are easing that China will send arms to Russia (concerns about this weighed on stocks late last week and an easing of them is helping futures rally).
Today the focus will remain on economic data and the two notable reports are Durable Goods (E: -4.0%) and Pending Home Sales (E: 1.0%).?While neither should be a major market mover, markets will want to see stable data (so reports that don’t imply growth is too strong, or too weak).?We also get one Fed speaker, Jefferson (10:30 a.m. ET).?
PLANNING CORNER
Financial news media was buzzing with conclusions based on the latest Fidelity Investments data report on retirement account balances.?Bloomberg reported that ”The average 401(k) account balance lost about a fifth of its value in 2022, tumbling to $103,900 from $130,700” (Bloomberg, 2/23/2023).?
In a second article, Bloomberg quotes its own MLIV Pulse survey, asking how much is needed to “retire comfortably”.?Before you hear their survey result, you need to know that this is a survey of international investors and financial professionals.?This weekly international investor survey reported that the answer is $3 to $5 million. (Bloomberg, 2/21/2023).???
These numbers just don’t add up.?Don’t be deterred by these contradictions. Each of these reports tells a different story about different characters and context is key. In order to find out how you to make the most out of your own retirement with an individual review.
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