In August, more money was poured into the trading strategy, about $2,000. (I started with $1,000 in May of 2021.) 14 shares of T-Mobile US Inc. were purchased on August 1st for $143.22, totaling $2,005.07. The shares were sold yesterday for $144.34, returning 0.8 percent for the month. Now, T-Mobile is no longer the top stock.
For comparison, the S&P 500 exchange-traded index fund, SPY, returned negative 5.2 percent in August. So this trading strategy continues to outperform the broader market.
In mid-August, the S&P reached its short-term peak then headed lower. In a speech on Friday 8/26, Fed Chairman Jerome Powell indicated they will continue raising interest rates in order to move monetary policy to “sufficiently restrictive.” He also acknowledged that bringing down inflation will bring “some pain to households and businesses.” Since that speech was made 6 days ago, the S&P 500 index has dipped 5.7 percent from its close on 8/25.
Oil is Back on Top
Exxon Mobil (XOM) is the top stock again. Remember, in order to narrow the field, the top performing stock over the last 6 months in the S&P 100 index is selected. Today, about 21 shares of XOM will be purchased and the left-over cash will be set aside. Check back at the end of September for the monthly update.
