Weekly Commentary — June 17th, 2019
The Week on Wall Street
Stocks advanced for a second straight week. The S&P 500 benchmark rose 0.47%; the Nasdaq Composite, 0.70%; the Dow Jones Industrial Average, 0.41%. Overseas shares, as tracked by the MSCI EAFE developed markets index, added 0.20%.,
The market seemed to put its recent preoccupation with trade issues aside, with attention shifting to this week’s Federal Reserve monetary policy meeting. Traders in futures markets now believe the Fed will make a rate cut in July, so its June policy statement will be of great interest.
Oil Prices Rollercoaster
Attacks on vessels in the Strait of Hormuz, the busy oil shipping channel, helped to push the price of West Texas Intermediate crude 2.2% higher Thursday, just a day after a 4% fall. Even so, WTI crude lost 2.7% in five days, closing Friday at $52.51 on the New York Mercantile Exchange.
Investors wondered at mid-week if tensions in the Persian Gulf region would soon impact oil output and transport. Looking beyond the short term, however, the International Energy Agency reduced its 2020 projection for global oil demand.
Households Bought More in May
Retail sales rose 0.5% last month, according to the Department of Commerce. Across the year ending in May, they advanced 3.2%. The previously announced 0.2% April retreat was revised into a 0.3% gain.
These numbers affirm strong household spending this spring. Consumer spending accounts for roughly two-thirds of the nation’s gross domestic product.
In terms of news, Wednesday offers what may prove to be the biggest economic event of the week: the Federal Reserve policy statement and press conference.
THE WEEK AHEAD: KEY ECONOMIC DATA
Wednesday:The Federal Reserve concludes a 2-day policy meeting, with Fed chair Jerome Powell addressing the media afterward.
Friday:The National Association of Realtors releases data on May existing home sales.
Source: Econoday / MarketWatch Calendar, June 14, 2019
THE WEEK AHEAD: COMPANIES REPORTING EARNINGS
Wednesday:Kraft Heinz (KHC), Oracle (ORCL)
Thursday:Kroger (KR), Red Hat (RHT), Darden Restaurants (DRI)
Source: Zacks.com, June 14, 2019
“The best preparation for tomorrow is doing your best today.”
―H. Jackson Brown, Jr.
Letter From IRS? What to Do (or Don’t Do).
If you receive a letter from the IRS, don’t panic. Millions of letters are sent to taxpayers every year for a myriad of reasons. If you receive a letter from the IRS, here’s some advice:
Don’t panic.Read the letter carefully. There will usually be an action that is requested of you and a corresponding phone number for you to call. Follow the directions carefully.
Be aware of dates and timeframes. The notice you receive will probably have a dated deadline by which to respond with the appropriate action. Be sure to take note of the dates and not miss any deadlines that may be stipulated by the IRS.
Know when to respond. Sometimes the IRS sends a notice or other communication that may not require a response. Again, read carefully, and if needed, respond according to the instructions on the letter. If a payment is required, reply with a payment or visit http://www.IRS.gov for information about payment options.
You may need to dispute. If you don’t agree with the IRS notice, write a letter explaining why you are disputing the matter and mail it to the address on the contact stub at the bottom of the notice.
* This information is not intended to be a substitute for specific individualized tax advice. We suggest that you discuss your specific tax issues with a qualified tax professional.
Tip adapted from IRS.gov
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