Make sure to check out Interactive Brokers above as idle cash now will yield more than 4.5% as the Fed just raised rates.
Key Investing Resource: Strategist Larry uses Interactive Brokers as his core brokerage. Feel free to check out IB. I currently park excess cash at Interactive Brokers. Check it out. It’s a great brokerage.
In our emails, we will provide the following coverage points:
Consumers are expected to spend an average of $567 during the 2023 Black Friday and Cyber Monday events, marking a 13% increase from the previous year, setting a new record in Deloitte's annual survey.
Despite economic challenges such as rising prices and higher interest rates, 84% of consumers are confident about adhering to their budgets set in September.
Many plan to capitalize on these shopping events to stay within their spending limits, with about 40% expecting to complete their shopping during this period.
Additionally, around 41% of consumers have already secured discounts by shopping in October, which could lead to a 25% reduction in their spending during the Black Friday and Cyber Monday sales compared to others.
The National Retail Federation anticipates the participation of around 182 million shoppers during this period, the highest since 2017, yet forecasts a slowdown in holiday sales growth in the US due to economic headwinds.
Federal Reserve officials, including Richmond President Thomas Barkin and Chair Jerome Powell, are increasingly relying on anecdotal evidence from business leaders and consumers to gauge the U.S. economy's health and inflation trends, supplementing hard data that may be outdated or subject to revision.
During recent engagements, such as Barkin's request for a show of hands on price expectations in South Carolina and Powell's discussions in Pennsylvania, Fed leaders have found that despite official reports of strong growth, businesses are preparing for continued inflationary pressures and moderate growth.
Chart That Caught Our Eye
Analyst Team Note:
The IRS announced adjustments for 2024 to accommodate for inflation, including a 5.4% increase in income tax thresholds and standard deductions.
The standard deduction will rise to $14,600 for single taxpayers and up to $29,200 for married couples filing jointly.
Additionally, the IRS has increased 401(k) contribution limits to $23,000 and IRA limits to $7,000, while keeping catch-up contribution limits unchanged.
The tax-free gift limit will be raised to $18,000, and the estate tax exemption will increase to $13.6 million.
Furthermore, 529 savings account annual contribution limits will go up by $1,000, and starting in 2024, up to $35,000 can be transferred from a 529 account to a Roth IRA for a beneficiary.
Sentiment Check
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