Looking Back at 2013
Looking Back at 2013
How good a year was it for the economy? Statistics tell the tale.
Provided by MidAmerica Financial Resources
Was 2013 a terrific year for stocks? Absolutely. The good news wasn’t limited to Wall Street, however: the employment rate fell, the economy revved up, home prices rose and inflation pressure was minimal.
Bulls triumphed. Christmas Eve brought the Dow’s 49th record close of 2013: 16,357.55. The S&P 500 settled at 1,833.32 on December 24 – a new all-time peak – while the NASDAQ ended the day at 4,155.42. The YTD gains on Christmas Eve were stunning: DJIA, 24.83%; S&P, 28.55%; NASDAQ, 37.62%. As you read this, these indices may have climbed even higher since.1,2
GDP improved. Our economy expanded just 0.1% in the fourth quarter of 2012, but things got better in 2013. The Bureau of Economic Analysis measured GDP at 1.1% for Q1, 2.5% for Q2 and 4.1% for Q3.3
The job market began to turn around. In November, the jobless rate hit a 5-year low of 7.0%. From August through November, non-farm payrolls grew by an average of 204,000 jobs per month, compared to average growth of 159,000 new jobs a month from April to July.4
Homes grew more valuable. In late November, the September edition of the S&P/Case-Shiller Home Price Index showed a 13.3% year-over-year gain. Prices hadn’t risen so dramatically in a 12-month period since February 2006.5
The Consumer Price Index barely rose. It was flat in November, and that put yearly consumer inflation at only 1.2%; the annualized gain in the core CPI was also minor at 1.7%. As recently as the summer of 2011, consumer inflation was approaching 4%.6
The recovery seemed to acquire more momentum. After years of troubling economic developments, 2013 was refreshingly positive. If the economy hasn’t quite healed yet to where it was before the recession, indicators such as these suggest it won’t be long until that day.
MidAmerica Financial Resources may be reached at 618.548.4777 or firstname.lastname@example.org.
This material was prepared by MarketingLibrary.Net Inc., and does not necessarily represent the views of the presenting party, nor their affiliates. All information is believed to be from reliable sources; however we make no representation as to its completeness or accuracy. Please note - investing involves risk, and past performance is no guarantee of future results. The publisher is not engaged in rendering legal, accounting or other professional services. If assistance is needed, the reader is advised to engage the services of a competent professional. This information should not be construed as investment, tax or legal advice and may not be relied on for the purpose of avoiding any Federal tax penalty. This is neither a solicitation nor recommendation to purchase or sell any investment or insurance product or service, and should not be relied upon as such. All indices are unmanaged and are not illustrative of any particular investment.
1 - foxbusiness.com/markets/2013/12/24/stock-futures-steady-ahead-durable-goods-data/ [12/24/13]
2 - usatoday.com/money/markets/overview/ [12/24/13]
3 - money.cnn.com/2013/12/20/news/economy/gdp-report/index.html [12/20/13]
4 - cbsnews.com/news/unemployment-rate-dips-to-7-percent/ [12/7/13]
5 - tinyurl.com/jvl25lh [11/26/13]
6 - marketwatch.com/story/consumer-prices-unchanged-in-november-2013-12-17 [12/17/13]
See other Investments news:It’s 1099 Time
Weekly Economic Update
Will Baby Boomers Ever Truly Retire?
Getting Financially Fit for Retirement at 50