Money Talks – May 27, 2017

This week on “Money Talks” host Troy Harmon, CFA, CVA, is joined by Principal Jennifer Thomas, CFP®, and Managing Associate K.C. Smith, CFP®, to discuss housing news and the latest minutes from the May Federal Open Market Committee meeting. They also talk about interest rates and legislation out of Washington.  K.C. and Jennifer lead a discussion on reverse mortgages and how they may affect elder care. They look at a situation where an investor has entered into a reverse mortgage and his children are concerned about his potential need for long-term care. The experts round out the show by answering listeners’ questions on the progress in retail commerce and rolling over a 401(k).

Market Roundup: Friday Marked 20th Record for S&P 500 for the Year

The market kicked off the week with gains on Monday, with stocks ending trading near session peak levels. Crude oil prices also rose ahead of the OPEC meeting set for later this week. Stocks traded upward on Tuesday. A strong corporate earnings season and a stable economy have helped the market stay buoyant despite concerns that the Trump administration may struggle to push through plans for policy changes like tax cuts and fiscal stimulus. In housing news, Commerce Department data showed new home sales slipped 11.4% to 569,000 in May versus expectations of a 610,000 annual rate. Additionally, March’s result was revised to an annual pace of 642,000, which marked its highest level since October 2007. Mid-week saw the S&P 500 Index reach a fresh high, while minutes from the Federal Market Open Committee meeting signaled that interest rates could rise in June. The rally continued on Thursday with Consumer Discretionary stocks leading the way. The major indices finished Friday relatively flat, but higher for the week. Both the S&P 500 and the NASDAQ saw record highs while the Dow Jones Industrial Average closed fractionally lower. Consumer sentiment for May increased slightly, likely because consumers have become more divided on their politics and expectations of economic growth.