📰 Sunday Edition 46: Core PCE Uptick
👋 Hey, Mike here! Welcome to ✨ Sunday Edition 46 ✨ It's a short post this week.
Table of contents
Summary
- What's New: I recently published a model on Alphabet (GOOG). For basic members and higher, you can check out the model here: Alphabet (GOOG) Discounted Cash Flow Model: 2024-08-26
- The S&P 500 is up 0.3% while the Nasdaq is down 0.8%.
- Core PCE is up slightly, showing a slow-down in the fight against inflation.
Quote Of the Week
Trust your common sense to figure out what you need to know, and don’t be afraid to ask a dumb question. If the expert thinks you’re dumb, that’s his problem.
William Zinsser, On Writing Well
This quote, while coming from a book about writing, is one of the best quotes about being a real expert. Real experts ask "dumb" questions, because they are focused on the common sense of the thing they're interested in.
This translates to investing perfectly: practitioners ask dumb questions in order to understand. This helps avoid disaster in the portfolio. "Experts" aim to seem intelligent, and oftentimes do not have a track record. (Economists come to mind here).
A great reminder to ask more dumb questions.
Markets
The S&P 500 is up 0.3% while the Nasdaq is down 0.8%. Gold is at a 20% in 6 months, which is amazing.
The S&P 500 is still rallying quite a bit since 2023:
Sectors
Financials took the win this week with 2.6% while information technology is down -1.0%.
Economy
Core PCE up slightly, but not surprisingly after such a decline in 2023 and first half of 2024. The trend still remains the same, and the current ~2.6% is a pretty healthy range.
Portfolio
Portfolio is well YTD:
| QTD % | YTD % | 1 Year % | Since Inception | Annualized | |
|---|---|---|---|---|---|
| S&P 500* | 3.7 | 19.5 | 27.1 | 33.6 | 14.1 |
| Portfolio | 3.1 | 13.6 | 28.6 | 57.6 | 24.2 |
Here is the current portfolio:
Responses