December 4, 2023 Investor Insights
Happy Times in December?
December 4, 2023
Enjoy this week's "Investor Insights," a weekly newsletter highlighting the financial news you need and providing tips and tricks to help you make better investment decisions.
- Since 1945, December has been the S&P 500's best-performing month (tied with April), averaging a 1.55% gain. However, it's worth noting that two of the three Decembers with over a 5% decline occurred in the last five years (-9.3% in 2018 and -5.9% in 2022). *1
- According to the New York Fed, less than 65% of consumers can access $2,000 within a month for unexpected needs. One place they may turn to is their credit cards, as the application rate for increases of credit limits increased to 17.8% in October, up from 11.2% a year earlier. 1
- Wall Street surveys reveal AI infrastructure and projects as the top priority for the technology budget in the next three years. A report earlier this year showed 75% of CIOs testing or implementing AI, and a survey of 600 executives indicates that over 60% plan to adopt new AI products. 2
- Year to date, the S&P 500 is up 21%, but this performance has been concentrated in just a few stocks. The seven leading stocks in the index are up 105%, creating a significant gap in performance between them and the rest of the stocks in the index, which are only up 7% on average. 3
Sources
- MFS- "Beyond the News"
- Barrons - "Nvidia and 2 Smaller AI Stocks That Look Undervalued. They Could Be Big Winners."
- The Irrelevant Investor - "7 Deadly Stocks"
*Past performance is not indicative of future performance
Disclosure: This information is furnished for the use of Glen Eagle Advisors, LLC, Glen Eagle Wealth, LLC, and their clients and/or contacts. It does not constitute the provision of investment advice to any person. It is not prepared with respect to the specific objectives, financial situation, or particular needs of any specific person. Investors reading this commentary should consult with their Glen Eagle representative/financial advisor regarding the appropriateness of investing in any securities or adapting any investment strategies discussed or recommended in this newsletter.
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