MWM Weekly Update

The Week of October 11, 2021

MWM Weekly Update

The Week of October 11, 2021

Greetings, Everyone,

This weekend granddaughter, Caitlin visited from Spokane with the news that she and her husband Mark will be moving to Juneau, Alaska. Mark is receiving a promotion with his company, and they are off on a new adventure.

Caitlin is a banker with Columbia Bank in Coeur d'Alene, Idaho. She shared that the banks are not getting quarters for their tellers. Covid has impacted pocket change shortages along with hand sanitizer and toilet paper. Pocket change is in such high demand that 7-Elevens offered a free Slurpee for people who traded in $5 worth of rolled coins for cash.

It takes money to make money. Did you know that a nickel costs 7.42 cents to produce, a dime 3.73 cents, a quarter 8.62 cents, and a penny 1.76 cents? I have wondered whether coins will be replaced in our monetary system since it is so expensive to mint them.

Do you have a stash of coins you’ve saved up over time? There may be some treasures hidden in that collection. A 2005 Kansas state quarter that read “In God We Rust” had a value of up to $100. A 2004 Wisconsin state quarter with an extra leaf was valued up to $1,500. The 1955 “double die” penny; Lincoln looks the same, but the “1955” and “liberty” appear to have shadows could have a value up to $1,800.

Review Your Health Coverage Annually
Open enrollment begins every year in mid-October; you can review your coverage, with the help of Medicare Plan Finder (medicare.gov/plan-compare). Remember plan options vary from state to state. The initial Medicare Enrollment Period allows you to sign up for Parts B and D when you turn age 65. The enrollment period begins three months before your birthday month and ends three months after your turn 65. It includes your birthday month.

Did You Know?
House swapping is on the rise. This is when someone stays in your house, and you stay in theirs. Do you want to spend your vacation in a romantic castle, a beach front cottage, or a town house in a vibrant city? There are more than 50 home-exchange networks to connect you with other homeowners who want to swap. The fees range from $60 to $150 but there are no rental fees.

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

In the Markets

LAST WEEK
  • Stocks closed last week generally higher, despite a weak jobs report. A Congressional deal to extend the debt ceiling until early December helped drive stocks higher during the middle of the week. A poor showing last Friday was not enough to prevent the benchmark indexes from closing the week mostly in the black. The Dow enjoyed its biggest weekly gain since June. The S&P 500 advanced, while the Global Dow ended the week up over 1.3%. The Nasdaq eked out a gain, but the Russell 2000 dipped nearly 0.4%. Among the market sectors, energy jumped 5.0%, financials rose 2.3%, industrials climbed 1.8%, utilities increased 1.5%, and consumer staples advanced 1.4%. The yield on 10-year Treasuries gained 14 basis points to close the week at the highest level since June 4. Crude oil prices continued to rise, closing in on $80.00 per barrel. The dollar rose marginally, while gold prices declined.
  • Wall Street did not get off to a strong start last Monday. The Dow fell over 320 points and the Nasdaq lost more than 2.0%. A sell-off in shares of tech/growth stocks including a major social-media company, led equities lower last Monday. With Monday's downturn, the Nasdaq has declined about 7.0% since its September 7 peak as it inches closer to -10.0% correction territory. A jump in energy and utility shares wasn't enough to keep the S&P 500 from dipping 1.3%. The Russell 2000 lost 1.1% and the Global Dow slid 0.3%. Treasury yields and crude oil prices rose, while the dollar slipped.
  • Tech shares recovered from Monday's decline to help drive the market higher last Tuesday. The Nasdaq jumped 1.3% to lead the benchmark indexes. The S&P 500 gained 1.1%, the Dow climbed 0.9%, the Global Dow gained 0.8%, and the Russell 2000 added 0.5%. The yield on 10-year Treasuries rose to 1.52%. Crude oil prices gained nearly 2.0% to reach $79.14 per barrel. The dollar advanced nearly 0.25%. Financials, communication services, and information technology increased at least 1.5% to lead the market sectors.
  • Wall Street ended last Wednesday generally higher on news that Congress was making progress toward a debt ceiling resolution. The Nasdaq (0.5%), the S&P 500 (0.4%), and the Dow (0.3%) rose, while the Russell 2000 (-0.6%) and the Global Dow (-0.3%) fell. Ten-year Treasury yields dipped, but remained over 1.52%. The dollar advanced, while crude oil prices declined. Energy, materials, and health care were the only market sectors to fall. Consumer staples and real estate advanced 1.0%.
  • Stocks posted a third straight day of gains last Thursday following the deal to push back the expiration of the debt ceiling to December 3. A larger-than-expected decline in new claims for unemployment insurance also helped bolster investor confidence. Consumer discretionary, health care, and materials led the market sectors. Each of the major benchmark indexes gained ground, led by the Russell 2000 (1.6%), followed by the Nasdaq (1.1%), the Dow (1.0%), the Global Dow (0.9%), and the S&P 500 (0.8%). Treasury yields reached 1.57%. The dollar dipped, while crude oil prices climbed nearly 2.0% to $78.85 per barrel.
  • Equities fell on weak jobs data last Friday. The Russell 2000 (-0.8%) and the Nasdaq (-0.5%) headed the declines. Only the Global Dow ended the day in the black. Energy and financials were the only market sectors to end the day higher. Ten-year Treasury yields continued to climb, closing last Friday at 1.60%. The dollar fell for the second consecutive day, while crude oil prices rose for the second consecutive day.

THIS WEEK


The latest reports on inflationary trends are available this week. Transitory or not, inflation has been rising for the past several months. The Consumer Price Index has risen 5.3%, the Producer Price Index is up 8.3%, import prices have increased 9.0%, and export prices have climbed 16.8%.

Source: Broadridge Investor Communication Solutions, Inc.

Articles & Education

Q3 Market Commentary

The Three Dimensions of Risk: Tolerance, Capacity, & Need

More wealth has been lost due to human emotions and the lack of sound, disciplined financial planning than to any bear market. The good news is that risk is quite manageable with the help of a trusted advisor and an understanding of three dimensions of risk: our own personal tolerance, capacity, and need.
Investment Term of the Week

Thought of the Week

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Making Life a Richer Experience