April 22, 2024 Market Moment

Market Moment

Glen Eagle®: America’s Women-Owned Trading Desk®  

4/22/2024

President Biden has reiterated during his campaign that he wants to increase taxes on those earning more than $400,000. Only 2.6% of all U.S. households are above that income threshold. Yet that is equivalent to 3.4 million households (33% more than in 2019). 1

Money fund assets have surged by 25% since the beginning of last year, reaching $6.5 trillion. This flight to safety however may not pay off over the long term since stocks have outperformed cash by about 6% annually going all the way back to 1901. *2

Larger companies are performing better than smaller companies in good and bad markets. The Russell 2000 small-cap index rose less than 5% in the first quarter, compared to a 10% rise for the S&P 500. This month the index has fallen 8.3% vs. a 5.5% decline for the S&P. *3

The dollar has surged by approximately 9% against the Japanese yen, reaching a level unseen since the 1990s. This may decrease Japanese investor's willingness to buy US treasuries which is a problem since Japan is the largest foreign holder of treasuries. 4

WSJ – “The Americans Crossing Biden's $400,000 Tax Line"

Barrons – “Money Market Funds Look Like a Tempting Place for Your Cash, But Don't Make This Mistake."

WSJ- "Big Stocks Won When Markets Rose. They Are Winning Again in the Selloff."

WSJ - "They Bet Against the Dollar. Now They're Paying the Price."

*Past performance is not indicative of future performance

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 of FINRA and SIPC 

This desk commentary is for informational purposes only 

Carol Ann Fernandez, Rob Michel, Grier Vacek 

(609) 631-8231 

www.gleneagleadv.com 

Glen Eagle Wealth, LLC | 4422C Route 27, PO Box 399, Kingston, NJ 08528-0399 

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