January started off as a strong month for the markets and exchange traded funds (ETFs), but increasing turmoil in Egypt threatened to derail the progress markets have made. That said, indexes in January were positive for the month.
The Dow Jones Industrial Average rose 2.7% this month. The S&P 500 gained 2.3% and the Nasdaq added 1.8%.
Optimism about the economic recovery that took hold in December continued into the early part of January as first-time unemployment claims slowly declined, consumer spending picked up and the Federal Reserve reiterated confidence in the direction of the recovery.
Widespread government protests in Egypt, however, intensified in the latter days of this month, shaking that confidence. In turn, the concerns pushed safe-haven gold and Treasuries higher once again.
View our complete January Performance Report here.
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.