Here’s a quick recap of what happened in Wall Street world last month. But remember, we don’t really care what happened other than as a point of interest, or to sound on top of things at the Labor Day BBQ.
No month, quarter, or even year will have lasting impact on a on a long term investor’s lifetime results.
The market stays as hot as an August afternoon in Florida, notching its 53rd record close of the year in August.
Record after record thanks in part to strong second quarter profit reports and Fed Chairman Powell saying saying the economy does not need the vaccine, I mean the Fed won’t overreact to this year’s rising inflation.
He says signs of inflation would likely reverse on their own.
Wow, where’s that hands off approach been?. Can you think of another issue that would’ve likely reversed on it’s own over the last 2-years without government intervention?
All the major gauges finishing higher for the month.
The S&P 500 wrapping August just about 3-percent higher, now on a 7-month winning streak, and 20% better so far in 2021.
The Dow a little better than a percent for the month, keeping a two-month win streak alive. Year to date looks pretty good at 15%-plus.
And NASDAQ adds 4-percent. And since we’re streak tallying today, that makes it three in a row for NASDAQ and 18-percent for the year.
Having told you all this, remember it was all for talking points so you have something to banter about at Labor Day picnics. Short-term moves in the market, up or down, don’t make a long-term investor’s career. Remember, we’re investors, not traders or speculators. We’re not trying to time the market. We own companies for the long-term.
Don’t be surprised if we see a little rockiness in September. We haven’t even had a 5%-pullback since last October. And September is historically the worst month of the year for stocks.
But that doesn’t mean this September will be. That’s all history.