Good afternoon, TSPwire Tactical Investor!
Troubling news about consumer spending as the holiday shopping season builds to a crescendo has kept stocks under pressure in the past few weeks. Those worries were fed by high energy prices, a dismal housing market and a spate of big losses by Wall Street banks. As a result those worries sent investors from stock into the relative safety of US Treasury bonds, sending yields to their lowest level in more then two years. Despite those concerns, stocks finished the week on high note, mounting a solid late-day rally Friday. Investors may get more bad news in the coming week however stocks are still too far away from our sell targets and might be due for a rebound.Base on results of our models we decided to stay with the same distribution: 30% in S Fund, 20% in C Fund and 50% in I Fund.