Unpredictability in the Bull Market Run and Is Tuition on the Rise Again?
By: Kevin Dombrowski
Past performance is not an indication, prediction or guarantee of future results.
Weekly Update
Last week, US large-cap stocks fell by more than 1% for the first time in two months. In addition, the NASDAQ Index logged its worst week in over five months, falling 2.6%. Even solid economic data which was fueled mostly by a solid job report (over 200k jobs added) and rising wages (the fastest rise since 2009) were not enough to lift the markets. Why? It appears three major concerns loomed: Downward pressure related to threats of trade wards, fear of the already heated and expensive stock market, and uncertainty on how rising wages and a shortage of qualified labor will affect US markets in the coming months. 

This week, we saw the US stock market rebound. As of Thursday, we had four straight days of gains in the S&P 500, NASDAQ, and DJIA. News that China may be receptive to overtures from the US related to trade discussions soothed the trade jitters momentarily. 

So, just how good is the job market?  According to the Labor Department , the number of jobs in the US exceeded the number of job seekers by more than 650,000 in July and the gap is actually growing. The number of available jobs in the US grew to 6.94 million in July – the highest number on record since collecting this data in 2000 – and the number of unemployed decreased to 6.28 million.  

College tuition inflation increasing again
After years of college tuition slowing (albeit still growing), we have seen a spike in recent months.  What is causing this? It’s likely related to the economy and wage increases, but most experts agree it’s too early to tell if this is a trend that will continue. 
With public university tuition growing by over 300% and private university tuition growing by nearly 250% in the past 30 years adjusting for inflation, I think we can all agree on one thing: let’s hope not!
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