• Despite the media’s focus on stock market drops, they are very common. Between 1928 and 2023, 94% of all years saw an S&P 500 drawdown of 5% or more; 64% saw a 10% drawdown; 40% saw a 15% drawdown; and 26% saw a 20% drawdown. *1
• Since 1980, after a 5% drop, the S&P 500 typically returned 6% over the next three months. However, market recoveries can vary widely. For example, after the tech bubble burst, the S&P 500 took seven years to regain the heights of 2000. *2
• 17% of Americans between the ages of 25 and 35 currently live with their parents. That's up from a low of 7% in the 1970s and at the highest level since the 1940s. Of those adults living at home, 78% can't afford the median rent level of the county they reside in. 3
• The six stocks with $1 trillion-plus market caps (AAPL, AMZN, GOOGL, META, MSFT, NVDA) rose an average of 46.3% in early 2024. However, July was a tougher month, with these six stocks dropping 3.5%, while the S&P 500 gained over 1%. 3

1. The Irrelevant Investor - "A Few Thoughts on the Selloff"
2. WSJ - "Market Turmoil Revives Age-Old Question: Should You Buy the Dip?"
3. MFS- "Beyond the News"

*Past performance is not indicative of future performance

Economic Calendar

Monday:

Monthly U.S. federal budget (Jul)

Tuesday:

NFIB optimism index (Jul), Producer price index (Jul), Core PPI (Jul), PPI year over year, Core PPI year over year

Wednesday:

Consumer price index (Jul), CPI year over year, Core CPI (Jul), Core CPI year over year

Thursday:

Initial jobless claims (Aug), Empire State manufacturing survey (Aug), Philadelphia Fed manufacturing survey (Aug), U.S. retail sales (Jul), Retail sales minus autos (Jul), Import price index (Jul), Import price index minus fuel (Jul), Industrial production (Jul), Capacity utilization (Jul), Business inventories (Jun)

Friday:

Consumer sentiment (prelim) (Aug), Housing starts (Jul), Building permits (Jul), Home builder confidence index (Jul)

Upcoming Earnings Calls

Monday - GOLD, SLF, SHG, BEKE, MNDY

Tuesday - HD, NU, SE, ONON, TME

Wednesday - CSCO, UBSM, CAH, PFGC, ESLT

Thursday- WMT, BABAM, AMAT, DE, ROST

Friday - VIPS, FLO, RLX, BKE, MSGE

Client Focused Trading® for large institutions, pensions, hedge funds, wealthy families, and private equity for over 30 years.

Glen Eagle Wealth, LLC is a member FINRA and SIPC

This desk commentary is for informational purposes only

Carol Ann Fernandez

Rob Michel

Grier Vacek

Glen Eagle Wealth, LLC

4422C Route 27

PO Box 399

Kingston, NJ 08528

(609) 631-8231