Show us the Money!

So much speculation about what happens to the stock markets if we have a “blue” sweep, meaning Biden wins, and the Democrats take over the Senate and keep the majority in the house.

It was first reported that the increased tax plans that Biden has released would slow economic growth and cause a significant stock market correction.  I received several calls from clients to discuss this.

Now it appears the narrative has changed.   If we get a blue sweep, the size of our stimulus will be significantly larger.  Much of that money will find its way being spent by consumers ASAP, increasing stocks for the foreseeable future.  I do agree that the cocktail combination of stimulus and the Fed is strongly supportive of equity markets.  I wonder if the narrative will change again!!

What could derail the markets?  A Coronavirus surge that shuts down part of the economy? Unexpected rise in market interest rates?  Perhaps something we’re not aware of?

You should not attempt guess what will happen.  Most of the time the markets surprise us. A well allocated and diverse portfolio based on your specific situation is still the best strategy.

Markets Surge Last Week

There was nothing in the news to propel the markets higher last week, except talk of stimulus. For the week, the Dow jumped 3.31%, the S&P 500 3.89%, the Nasdaq Composite 4.57% and the Russell 2000 surged 6.40%.

Over the pond, developed market equities rose 2.98% and Emerging Markets 3.78%.

Bond yields rose slightly with the 10 Year US Treasury finishing the week with a yield of .77%. I still shake my head when I type that!!


Apple will present and release the new Apple 12 iPhone this week.  Expectations are for blockbuster sales.  When you look at Apple, they dominate the Millennial generation which is the largest generation.  They love their iPhones.  Apple has also made its way to other generations.  I switched to an iPhone about 10 years ago and even my 81-year young mom has one.  What a great business, not going away anytime soon.

If you would have asked me 10 years ago, if my mom would be texting and emailing on her phone, I would have said you were a little loco!

Medicare Open Enrollment

 Open enrollment will begin this Wednesday, October 15th and run through December 7th.  If you are currently on Medicare, it’s the perfect time to review and compare your coverages.

  • You can shop your Prescription Drug plan to possibly find a plan that has a combination of lower premiums and out of pocket costs compared to your current plan. Regardless of your medication, I strongly suggest shopping.  It’s pretty easy if you go to the Medicare website. Click here for the drug plan coverage page.
  • If you have a Medicare Advantage Plan, you can compare Advantage plans and switch effective 1/1/21. No medical questions asked.
  • You can change from Original Medicare to a Medicare Advantage Plan. This is not recommended without a thorough understanding.

For those of you not currently on Medicare, I’ll be starting a posting series on Linked In that will review coverage options, enrollment period requirements, costs and comparisons.  To follow me on LinkedIn and view these posts, please connect with me by clicking here!








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