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The Oil Glut Continues to Grow

Oil is once again making headlines – OPEC can’t agree on pricing, which has led to oil hitting record lows. It seems that every major oil producing country is battling for market share and willing to keep prices as low as they can so they can keep their current customers. The UK’s Telegraph has a unique take on what all of this means

One topic not addressed in the article is the multiplier effect that occurs when US consumers save a dollar at the pump. Instead of saving it, they spend it. The money that once went to OPEC countries to pay for oil is staying in the US. That family that saved $500 over the year as a result of lower gas prices, may have used those extra dollars to hire a painter to paint a room in their house. That painter then turned around and bought something for himself and the multiplier effect continues. According to PIMCO, that dollar saved at the pump will be exchanged about 9 times before it is eventually winds up in a savings account! So, low oil prices may be helping the economy.

A 2016 Economic Outlook

Where are we headed next year? How will the US stock market do? China? Oil? Interest Rates?

Over the next 60 days, my email will be flooded with hundreds of market outlooks for 2016. Some are pretty technical, or have some sort of sales angle, or they have some odd viewpoint that doesn’t make much sense.

Every once in a while, I find one that is really clear and concise – such as the following outlook by Peter Coy of Bloomberg

He sums it up well: 2016 will be “OK-ish”

Social Security Discussion

CNBC posted an article online yesterday about how to collect social security. It’s over simplified and generalizes the issues and concepts.  The interesting part was the number of comments the article received.  Close to 600 comments over the last 36 hours!  It was scary to browse through these comments to see all the misinformation that was being spread among the commenters.

If you’re thinking about Social Security, or have questions, talk to us.  We can help to think through the issues with you and help you avoid some of the common mistakes folks make.