Not Since the 70s
It’s easy to complain about the economy. It’s not within our control and yet it controls us. It’s our common ground. Since the founding of our country, there have been as many as 48 recessions. What’s harder to remember are the good times. In fact, we have been experiencing multiple years of a nice return on the Dow as it’s gone from 6,500 in 2009 up to 36,585.06on January 3, 2022, a record high. Tax rates have been low and interest rates have been historically low.
So why mention it?
Because clients and economists are wondering, “How long will the good times last?” Last Friday’s payroll report showed lackluster numbers. These poor numbers add to the concern that wage inflation will set in motion a wage-price spiral such as the one experienced in the 1970s. What does that mean for your retirement?