Insights

Enthusiasm over advancements in artificial intelligence has fueled a significant stock rally, but in our view, it is not a bubble—at least not yet. While AI has clearly captured investor attention, today’s market leaders are far more profitable and better capitalized than tech names during past bubbles. Speculation exists, but widespread skepticism and strong fundamentals—like earnings, margins, and cash flow—are helping anchor valuations.

Wall Street was marked by volatility throughout last week. Major indexes, particularly the S&P 500 and the NASDAQ, reached new record highs earlier in the week, driven by an advance in AI stocks and favorable corporate earnings reports.

Investor optimism over AI companies and expectations of interest rate cuts helped propel stocks last week.

What's Inside: Boomer Homeownership and Retirement; Three Ways to Help Build Financial Resilience; FAFSA for 2026-2027 School Year Opens on October 1; Planning for a Pricey Pet; How Has SECURE 2.0 Affected 401(k) Plans?; and Unpacking the Real Limits on Unlimited PTO

The Federal Reserve has resumed rate cuts. As expected, the central bank lowered the benchmark rate by 0.25% in this month’s meeting, and the updated dot plot points to two additional rate cuts by year-end. Inflation remains sticky, but the Fed’s bigger worry is the labor market, which has clearly weakened and now demands attention.

What's Inside: Cost Is a Key Factor in College Selection; Home Appliance Economics; Staycations Are About More Than Saving Money; Navigating Financial Conversations with Aging Parents; Consider Munis for Tax-Free Income; Avoiding Probate with a TOD Deed and TOD Account

Every August, we “Chart the Course” with a series of charts that highlight key current and historical trends in the economy and markets. We hope you find them both insightful and useful. Our regular commentary will resume in September.

What's Inside: Travel Spending Surpasses Pre-Pandemic Levels; The Lock-in Effect Is Easing, But Oh So Slowly; Have You Set a Retirement Savings Goal?; Buying a Condo? Focus on the Financials; Family Fun for Less: Tips to Help Cut Costs on Your Next Vacation; Tips to Help Preserve Your Inheritance