Category Archives: Invest

Amid Divergent Data, Here’s What To Know

For the ninth straight month, the Leading Economic Index® (LEI) for the U.S. declined in January 2023. According to data released Friday morning, the LEI dropped by three-tenths of 1%, following an eight-tenths of 1% plunge in December. Although the rate of decline in the LEI slowed in January, the collapse of the LEI historically foreshadows recession. The LEI collapsed before every recession in modern financial history except for the Covid-19 recession.

Will The Federal Reserve End Inflation By Causing A Recession?

Look for the Federal Reserve Board’s policy statement on Wednesday, February 1st to help determine whether the inflation crisis ends in a recession. 

The Federal Reserve is at the tail end of a historic battle against the worst inflation in several decades. The central bank hiked rates seven times since March 2022 and is expected to raise rates again Wednesday, when its policy statement is released at the conclusion of the Federal Open Market Committee’s monthly two-day meeting.

What To Do Now To Build Wealth

With the investment outlook uncertain, as it is almost always, this chart is a reminder that crises have come and gone throughout modern history and $1 invested in the U.S stock market, as measured by the Standard & Poor’s 500 stock index, compounded at an annualized rate of 7% for 65 years ended December 31, 2022.