No Progress In Sight

22 Sep No Progress In Sight

Keeping an eye on the economy is an important aspect of planning your finances for now and the future. With so many different aspects to retirement, small changes in the economy can have large impact on you specifically, whether it be in your future plans or in your present investments. With the economy still recovering from the greatest recession since the great depression, it’s important now more than ever to be aware of the most pressing matters in today’s current events.

Recently there was much disappointment when the Federal Reserve announced that they will not raise their rates. This means the Fed doesn’t believe that the economy is strong enough to handle even a 0.25%, which they said could “upset the applecart” or in other words damage the economy. Because of this the value of the dollar is going to drop even more. Although a weak dollar is good for spending in the U.S. borders there are some drawbacks. The most important of these is most likely the fact that most U.S. goods that we use on a day to day basis will be getting more expensive every day. Another important topic of current events would be the fall of U.S. industrial production and capital utilization have fallen by 0.4 and 0.2%. This sudden drop has offset the spike in U.S. production which took place in July. Both of these factors combined will play a large roll in your day to day actions and decisions. Knowing that most of the goods we consume in the United States are imported, having a weaker dollar is going to drive up the cost of all of these things, with the most influential being the price of gasoline. These things will heavily limit the spending among U.S. citizens, or at least cause people to think twice before swiping that credit card. With the strength of the U.S. dollar at a standstill it’s unclear as to whether or when the dollar’s value will raise.

With this in mind it is apparent that now is the time not only to hold onto your money but to hold onto it wisely. There are many ways to do this, without risking all of your money. Especially because a weak U.S. dollar lowers the amount of foreign investors, which decreases the value of many U.S. investments. However there are still ways for you to invest your money safely with a promised return. Don’t waste your time or your money, act now and call your Financial Advisor today and find out how you can make the most out of your money in this difficult time.