I Fund mixed this am..link..

[tgrmike]

imported post

Ahead of the report bond prices were slightly lower, with the yield on the 10-year treasury edging up to 4.16 percent from 4.15 percent late Thursday. The dollar gained ground on the euro and the yen.

Oil prices were higher. The June light crude contract gained 55 cents to $51.38 a barrel in electronic trading, while the June contract for Brent crude rose 47 cents to $51.60.

Major markets in Asia closed higher Friday ahead of the U.S. jobs report. Major European markets were mixed in early trading, with London trading slightly higher after Prime Minister Tony Blair won a third term in elections Thursday, while markets in Paris and Frankfurt were lower.


http://money.cnn.com/2005/05/06/markets/stockswatch/index.htm

 

[ArmyLoggie]

imported post

Hi,

Just wanted to say first off that this is a great site. Have been investing in TSP since 2003 when I started as a DA civilian -- needless to say I've got nearly 30 years to go.

I have been putting most of my money in I fund (45%) (The rest is 5%G, 10%F, 15%C and 25%S). From reading many of the posts and allocations here I think I probably have way too much in G and F and not nearly enough in C... will probably use my balance in G and F to buy more I..

Was originally thinking I was going to be in for long-term, but then did my first inter-fund transfer on April 1st... I managed to somehow cash in on the relatively low I fund price before it shot up the next day. That pretty much got me hooked on the concept of moving money around.

Then I found this site -- great stuff!

Anyway, here is my question:

Wash Post reported today that GM's bonds were reduced to "junk" status -- do you think this might have any indirect ripple effect on the I fund?

Second question:

Has anyone noticed any correlation between the Fed raising interest rates and performance of the I fund?

(My questions are probably basic economics 101, but I only gota C in economics... )

Thanks!

 

[Dakota]

imported post

ArmyLoggie wrote:

Hi,

Just wanted to say first off that this is a great site. Have been investing in TSP since 2003 when I started as a DA civilian -- needless to say I've got nearly 30 years to go.

I have been putting most of my money in I fund (45%) (The rest is 5%G, 10%F, 15%C and 25%S). From reading many of the posts and allocations here I think I probably have way too much in G and F and not nearly enough in C... will probably use my balance in G and F to buy more I..

Was originally thinking I was going to be in for long-term, but then did my first inter-fund transfer on April 1st... I managed to somehow cash in on the relatively low I fund price before it shot up the next day. That pretty much got me hooked on the concept of moving money around.

Then I found this site -- great stuff!

Anyway, here is my question:

Wash Post reported today that GM's bonds were reduced to "junk" status -- do you think this might have any indirect ripple effect on the I fund?

Second question:

Has anyone noticed any correlation between the Fed raising interest rates and performance of the I fund?

(My questions are probably basic economics 101, but I only gota C in economics... )

Thanks!

don't ever forget the S fund it sometimes takes the edge off of losing in the c fund might think of 25 in gc s and I

 

[Gritz]

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"Second question:

Has anyone noticed any correlation between the Fed raising interest rates and performance of the I fund?"

Welcome Army, hope your stay is profitable.

There are many here more knowledgeable than I, but since you hadn't received a reply yet, thought I'd give you my limited take on your question. Basically, my understanding is that a rate increase helps support or strengthen the dollar, which adversely affects the I fund. Of course this is not 100% guaranteed but I believe that is the normal action.

As for your first question I'll defer to others. I believe Technician and maybe Spaf, were following the GM matter.

Good fortune to you!

 

[ArmyLoggie]

imported post

Thanks to you both for your responses.

Definitely have some more research to do regarding my standard contributions, but think I'll still weight it more towards "I" with the balance divided out somewhere in C and S.