MWM Weekly Update

The Week of August 27, 2021

MWM Weekly Update

The Week of August 27, 2021

“May your right hand always be stretched out in friendship and never in want!”
Old Irish Proverb

Greetings everyone,

As the days of summer fade away I had the wonderful opportunity to have lunch once again with some of my Sherwood High School girlfriends. We met at Clancy’s in Sherwood and took our seats on the open-air patio. On the wall of Clancy’s was the Irish proverb above. These ladies and I have known each other for most of our lives and it's fun to remember the crazy things from our childhoods.

We spoke about that one girl who was the really mean one. We remembered some little things from our childhood play together. We were industrious, full of expectations and creativity. We made villages out of bean poles, started a club or two, picked berries and beans, and joined in sports activities. In our class there were so few of us that everyone had a chance to play on the teams. Confession – I was a horrible volleyball player because I just couldn’t jump high enough to spike the ball. Yes, we were the Bowmen, “the mighty, mighty Bowmen . . .”

Labor Day weekend is coming up shortly and it’s an important time in history and in our family’s personal lives.  Grandchildren Ashley and Joe are getting married on their 18-acre Molalla farm. They’ve turned a very rustic 100-year-old farmhouse into a cute family home with a large garden and newly poured patio. Joe’s family will come from most of the western states. Ashley will have family guests from as far away as Florida and Iowa. It will be a great time. We’ll pray for good weather for this outdoor celebration. Its special too because it is my wedding anniversary weekend also.

What does history teach us about Labor Day?

We share Labor Day with Canada celebrated the first Monday in September honoring workers by recognizing their contributions to society. In the U.S., Peter J. McGuire, a union leader who founded the United Brotherhood of Carpenters in 1881 suggested to the Central Labor Union of New York that there be a celebration honoring American workers. The date was chosen because it was halfway between the Fourth of July holiday and Thanksgiving.

In 1887 Oregon was the first state to grant legal status to the holiday. That same year Colorado, New York, Massachusetts, and New jersey established the holiday on the first Monday in September and other states soon followed.  The 1894 Pullman strike in Illinois and the worker riots and other unrest in Cleveland influenced President Grover Cleveland to propose a bill that made Labor Day a national holiday. The bill was to deflect from May Day, an unofficial observance rooted in socialism, and was signed into law later that year.

Thankfully, Labor Day has survived many diverse political winds over the years.  I am grateful for the holiday break and will cherish our family’s special long weekend.

Did You Know?

That many sheep dogs like our Lady, an Australian Shepherd are deaf? Gracia, a friend and client shared this with us. She said there is an organization, Deaf Dogs of Oregon, for me to investigate. Gracia said she was stopped during a walk when she saw a dog parent use sign language to communicate with their Aussie.  www.deafdogatlas.org

Gracia shared something else. She said for people who need help clearing out their homes, moving, or organizing there is a service called Managed Moves and they helped her pack and unpack, and she felt like a queen working with them. www.managedmoves.com Disclosure, I am sure there are other really good options for these services, I just wanted to pass this one along in case someone is struggling with a moving issue.

Judith McGee, L.H.D., CFP®, ChFC®
Executive Vice President and Senior Lead Advisor

In the Markets

LAST WEEK
  • Stocks closed the week lower over concerns about the pace of global economic growth. China, the world's second-largest economy, saw retail sales and industrial production slow as that country tries to contain the fallout from the latest resurgence in COVID cases. In addition, the minutes from the July Federal Open Market Committee meeting indicated that at least some of the members are considering tapering the Fed's asset-purchase program sooner rather than later. Each of the major benchmark indexes lost value. The Global Dow fell 3.3%, the Russell 2000 dipped 2.5%, and the Dow dropped 1.1%. The dollar and gold prices advanced, while crude oil prices declined 8.5%. The yield on 10-year Treasuries marginally decreased. The market sectors were mixed for the week, with utilities, consumer staples, health care, information technology, and real estate gaining ground, while energy, materials, financials, industrials, and consumer discretionary fell.
  • Stocks were mixed last Monday, with the Dow and the S&P 500 reaching record highs, while the Nasdaq, the Russell 2000, and the Global Dow slipped lower. Crude oil prices dipped, the dollar was mixed, and the yield on 10-year Treasuries fell nearly 3.0%. Health care, consumer staples, and utilities led the market sectors, while energy slid 1.8%.
  • A string of five consecutive record finishes for the Dow and the S&P 500 ended last Tuesday, as each benchmark index suffered its largest decline since July 19. Stocks closed lower following a weaker-than-expected retail sales report and concerns about the economic impact of the Delta variant. The Nasdaq (-0.9%), the Russell 2000 (-1.2%), and the Global Dow (-0.9%) also dipped lower. Treasury yields and crude oil prices decreased, while the dollar advanced. The market sectors generally fared poorly, with only health care and real estate advancing. Consumer discretionary (-2.3%), materials (-1.2%), industrials (-1.1%), and communication services (-1.0%) fell the most.
  • Last Wednesday saw Wall Street continue to falter as each of the benchmark indexes lost value, led by the large caps of the Dow and the S&P 500, which dipped 1.1%. The Nasdaq fell 0.9%, the Russell 2000 declined 0.8%, and the Global Dow decreased 0.5%. Energy fell 2.4%, followed by health care (-1.5%), information technology (-1.4%), and consumer staples (-1.3%). Crude oil prices dropped to $64.59 per barrel, their lowest closing price since mid-May. The yield on 10-year Treasuries increased 1.2%, while the dollar was little changed from the prior day. The slide in stock values may be in response to minutes from last month's Federal Reserve meeting, which indicated that a decision on a reducing its bond-purchasing program could happen in 2021.
  • Stocks were largely mixed last Thursday, with the Nasdaq and the S&P 500 eking out gains (0.1%), while the Global Dow (-1.7%), the Russell 2000 (-1.2%), and the Dow (-0.2%) dipped lower. Treasury yields and crude oil prices fell, while the dollar advanced. Asian and European markets fell on COVID concerns. Consumer staples, information technology, and real estate led the sectors, while consumer discretionary, industrials, and energy faded.
  • Last Friday proved to be Wall Street's best day of the week. Each of the benchmark indexes advanced, led by the Russell 2000 (1.6%) and the Nasdaq (1.2%). The S&P 500 (0.8%) and the Dow (0.7%) pushed higher. The Global Dow inched up 0.1%. Each of the market sectors gained ground, with information technology, utilities, and communication services leading the pack. Ten-year Treasury yields rose, while the dollar and crude oil prices dipped.

THIS WEEK

There's plenty of important economic data available this week. July figures on sales of existing and new homes are out. The housing sector has slowed from the torrid pace set earlier in the year. Durable goods orders have been rising, with new orders increasing 0.8% in June. July is expected to see a similar advance in new orders. The second estimate of gross domestic product for the second quarter is also out this week. The first estimate showed that the economy expanded at a 6.5% annualized rate.

Source: Broadridge Investor Communication Solutions, Inc.

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Investment Term of the Week

Thought of the Week

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