August 2018

Allocation Percentages for August 2018
F Fund

0%

C Fund

18%

S Fund

82%

I Fund

0%

We are seeing continued strength in the economy and surprisingly technology stocks, but not social media. A GDP of 4.1% and revised numbers for the first quarter reveal we are still in a very strong position. Many technical investors are still very bearish and there are many doubts the market and the economy can continue its positive direction. From the IS-LM-FE model of economics, we are seeing a very good example of how our economy is expanding, while the employment drops and the money supply is decreased through interest changes. What has declined to makes the conditions possible is the US savings rate has declined from ~6% in 2016 to 3% today. Less people saving, or more accurately, more people spending, is driving the economy. From this deduction, the Fed will continue to raise interest rates, impacting companies trying to secure debt at the previously enjoyed low interest rates. This will ultimately slow growth, but not in the near term. Encouraging news is the lack of any real impact on the "Tariff Wars" and the ability to negotiate reduced tariff for US goods overseas, impacting many of the stocks in the S Fund in a positive way. They will have more markets open to them, and their raw materials will probably not increase as much as the pessimists feared. My distribution summary reflects these trends. Keep investing!
           
  

TSP FUND QUOTES

Date L Income L 2025 L 2030 L 2035 L 2040 L 2045 L 2050 L 2055 L 2060 L 2065 L 2070 G Fund F Fund C Fund S Fund I Fund
2025-06-13 27.6479 14.2316 52.9024 15.9824 60.8723 16.7473 36.8940 18.6869 18.6846 18.6821 11.0726 19.1308 20.0012 95.0040 88.2485 48.5492
2025-06-12 27.7407 14.2818 53.2972 16.1137 61.4173 16.9078 37.2703 18.9127 18.9104 18.9080 11.2064 19.1284 20.0748 96.0737 89.7781 49.1157
Daily Change -0.33%-0.35%-0.74%-0.81%-0.89%-0.95%-1.01%-1.19%-1.19%-1.19%-1.19%0.01%-0.37%-1.11%-1.7%-1.15%
Month to Date 0.44%0.46%0.79%0.85%0.91%0.96%1.01%1.18%1.18%1.19%1.19%0.16%0.24%1.17%1.05%1.28%
Year to Date 3.39%3.42%4.87%5.11%5.35%5.54%5.72%6.28%6.28%6.28%6.29%2.01%2.69%2.23%-2.11%15.88%
Details L Income L 2025 L 2030 L 2035 L 2040 L 2045 L 2050 L 2055 L 2060 L 2065 L 2070 G Fund F Fund C Fund S Fund I Fund
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