My Investing Muse

Is the S&P500 a good reflection of the US economy? As more Americans struggle with the cost of living, the S&P500 is currently in decline. Is this a reflection of the US economy or is this a good gauge of the global economy? The latest Q3/2023 GDP figure released has revealed a strong robust economy. US GDP soared to a 4.9% in Q3/2023. This is the highest since the end of 2021 and a big jump from 2.1% in Q2/2023. From various sources, strong consumer spending and government spending drove the growth.  Does this mean that the recession is over? Is this sustainable in lieu of the Federal, commercial, and private debts? Revenue sources of S&P500 companies Extract from the  article  from Globalxetfs: Companies that generate a substantial part of their revenue from outside of the U.S. could experience additional earnings compression, albeit with a lag.  Roughly 40% of S&P 500 revenues are generated outside of the U.S., and about 58% of Information Technolo...

  My investing Muse Student loan suspension ends on 31 Aug 2023. Payment of the student loan resumes in September 2023. The total student loan stands at USD$1.757 trillion ~ USD$1,757,000,000,000. This was one of the items implemented as Covid19 containment and with repayment to resume, we can expect some troubles to follow. This is $1.757 trillion that stems from 45.3 million who owe an average of $28,950 per pax. Unfortunately, an estimated 10.8 million student loans are at risk of default. With an increase in the cost of living (from sticky inflation), this will doubtless add to the burden when repayment resumes in 3 months. However, there is an alarming 10.8 million loans facing default. This should add to the waves of financial turmoil in the market and the larger economy. screenshot from a CBS news  article  about the US hitting $1T credit card debt Will this plunge more into a debt crisis as America chalk up a record nearly $1 trillion of credit card debts? With th...