Looking at the start of the 2022 markets and how 3 major indices took a dip
January 11, 2022
Welcome to Wealth Enhancement & Preservation’s Market Minute, where we get to update you on everything that happened in the financial markets this past week. My name is Jake Sanders, and I am a partner at Wealth E&P and operate as a Wealth Advisor and Certified Financial Planner.
I hope the year 2022 is starting out great for you, and I hope that it is certainly better than how the markets are starting off!
Last week, we saw a decline in all three of the major indices, with the NASDAQ being down almost 4.5%. What caused all of this? Well, we’re still dealing with inflation and fears around inflation. Last week, the Fed released December minutes, which indicated they're going to accelerate the easing back on the easy-money policy.
On top of that, we're also dealing with Omicron and the possible economic impact around it and how to deal with it. Finally, on Friday, we had a very disappointing jobs report. I will add that on these jobs reports, the numbers are often updated down the road, so this may change. But, for the time being, the market did not like what it saw, and we traded off.
What does that mean for you and your portfolio? Our All-Weather score is still a 31 out of 40; this is a decline from where it was in the previous week, but we are still in the moderate aggressive camp. I will add that there will be no trading action generated from that.
This is a reminder that 3 to 6 months down the road it can certainly change, so if it does, you'll certainly hear from us. If you have any questions about that, or want to find out more, we'd be happy to talk to you. Please feel free to reach out or visit www.wealthep.com. Otherwise, stay tuned for our Market Minute next week! We hope you all have a great day.
At Wealth Enhancement & Preservation, we are here to serve as your financial advisor and source of support in the Alpharetta, GA, Cartersville, GA, and Charleston, SC areas. Our advisors are dedicated to simplifying the complexities of the financial world and as your advocate, we strive to learn about your most valued goals and dreams. From individual investors to entrepreneurs, our services are designed for your success.