Planned Solutions

In this episode of the Planned Solutions Incorporated Podcast, The stock market surged on November 10th in response to a better-than-expected inflation report. This has caused some to question how stock prices can be considered rational when prices sometimes swing by such large amounts in one day. The answer relates to the fact that investors are forward-looking, so they are constantly anticipating the future. However, the time frame investors use to price investments often changes over time. Also, The US inflation rate declined by more than expected in October. Consumer prices increased 0.4% for the month and 7.7% year-over-year. This was a 1.4% decrease from the peak of 9.1% in June 2022 led by a decline in energy prices. However, food prices have continued to increase, and the price of shelter has remained persistently high despite stagnation in home prices due to increased rents. And, In an effort to step-up tax enforcement, new tax laws have increased the reporting requirements for non-traditional sou