The financial markets entered the final quarter of 2024 with a full head of steam – the Dow Jones Industrial Average gained 8.2% in the third quarter and was up nearly 12% through the end of September. The broader S&P 500 finished the quarter ahead 5.5% and up nearly 20% year-to-date. Both indexes closed out the quarter at record highs.
So, after taking the Fed’s recent half-point rate hike in stride, it’s on to the presidential election just four weeks away. Given major differences in the candidates – and the tightness of the polls – more market volatility shouldn’t be a surprise.
If history is any guide, the Fed’s recent interest rate cut should be bullish for stocks – even when they are already near record highs. (Reading time: 3 minutes)
High-growth stocks like today’s Magnificent Seven often outperform the market in the short run. Over longer periods it’s a much different story. (Reading time: 5 minutes)
Converting traditional IRA funds to a Roth has several potential advantages – as well as some big tax implications. Here’s how to spread out the pain. (Reading time: 3 minutes)
You’ll get much higher benefits by waiting until age 70 to file for Social Security – but there are downsides as well. (Reading time: 3 minutes)
Borrowing to buy a home can pose special challenges when you no longer have a steady income. (Reading time: 6 minutes)
Most Americans don’t have long-term care insurance. If you’re one of them, it pays to understand your other options. (Reading time: 5 minutes)
Make sure your loved ones have easy access to your important documents when you are no longer with them. (Reading time: 4 minutes)
I once narrowly passed a three-hour finance exam despite forgetting my calculator. This simple formula made the difference. (Reading time: 6 minutes)
Lottery winners and professional athletes have proven how easy it is to blow a sudden fortune. Here’s how to avoid their fate. (Reading time: 5 minutes)
The average worker in wealth countries – like ours – works about half as many hours each year compared with a century and a half ago. (Reading time: 1 minute)
Words to the Wise
“Capitalism doesn't know or care about fairness in the sense of equal sharing. What it considers fair is the proposition that people who have greater ability or work harder should be able to earn more. That potential, it says, provides incentives for hard work and rewards those who achieve, ultimately resulting in a better life for almost everyone.”
– Howard Marks
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