THE WEEK ON WALL STREET
Stocks moved higher last week as inflation jitters gave way to investor enthusiasm over Middle East diplomatic efforts and the largest-ever initial public offering (IPO).
The S&P 500 Index rose 0.65 percent, while the Nasdaq Composite Index advanced 0.70 percent. The Dow Jones Industrial Average gained 0.66 percent. The MSCI EAFE Index, which tracks developed overseas stock markets, added 0.92 percent.
FACT OF THE WEEK
Following a revolt by the English nobility against his rule, King John puts his royal seal on Magna Carta, or “the Great Charter,” on June 15, 1215. The document, essentially a peace treaty between John and his barons, guaranteed that the king would respect feudal rights and privileges, uphold the freedom of the church, and maintain the nation’s laws. Although more a reactionary than a progressive document in its day, Magna Carta was seen as a cornerstone in the development of democratic England by later generations.
MARKET MINUTE
War, Peace & Space
Stocks were mixed on the first day of the week. Chip stocks led advances by the S&P 500 and Nasdaq, while the Dow Industrials sagged.
The script flipped in the next session, as the chip stock fizzled despite a drop in oil prices. The S&P and Nasdaq slipped, while the Dow Industrials gained. Materials and consumer discretionary and real estate sectors led, with the latter rising on better-than-expected existing home sales.
Stocks fell broadly midweek as investors reacted to the May CPI report, which showed year-over-year consumer inflation ticked up to 4.2 percent.
But then sentiment turned positive again on Thursday after the White House gave an update on its ongoing diplomatic efforts in the Middle East.
The week wrapped on a positive note, as the largest IPO appeared to boost investor enthusiasm, particularly for AI, and there were more updates on the Middle East.
Inflation Update
While year-over-year inflation rose to a 3-year high due to higher energy prices, Wall Street found some silver linings in the May report.
First, investors saw this coming. The 4.2 percent “headline” inflation matched market expectations, so the news was welcomed. Second, core inflation rose 2.9 percent over the prior 12 months, in line with forecasts.
Third, month-over-month CPI cooled slightly, giving investors hope that energy prices may have peaked.
FINANCIAL STRATEGY OF THE WEEK
Travel in Retirement
If you were to ask anyone on the street what their top goals are for retirement, there’s a pretty good chance they would say travel. There’s definitely a romantic idea we all carry about putting work behind us and relaxing in some exotic climate. Others want the opportunity to look in on relatives who live far away. Still others may want to explore cultures they’ve only known from films and books.
Tourism has always been big business. International tourism accounts for $1.9 trillion USD in international tourism receipts according to the United Nations Tourism’s World Tourism Barometer.
Here are some more facts:
- International tourism arrivals, defined as overnight visitors, were up 4 percent in 2025.
- Around the world, 1.52 billion people traveled internationally in 2025. That’s up 60 million from 2024.
- U.N. Tourism anticipates international travel will go up 3 to 4 percent in 2026.
- Bearing this in mind, there's so much to consider when traveling in retirement. Where to start? A good “square one” is thinking about what you need and what you want. You might find these factors are occasionally in conflict. Let’s explore a few areas you’ll want to think about.
Timing is everything. The best time for big travel plans may be ASAP. If you’ve always dreamed of a big, multigenerational family trip, whether by air, land, or sea, you'll want to time that trip well. If the grandkids are old enough to make memories with, the adult kids can get the time off from work, and you’re ready, it’s time to go-go-go! Here’s where what you need and what you want might clash a little. It’s definitely practical to save for the trip, but summer vacation is finite, and spring and winter breaks are even shorter. Weigh your decisions carefully, but there’s nothing wrong with spending a little money on things that matter to you.
Savor the experience. For many, cultivating beautiful experiences is the whole point of travel. However, couples and families might encompass a number of tastes and preferences. If some members of the party are looking for culinary opportunities and others seek educational enrichment like museums and historical sites, make sure the trip offers everyone the experiences they want most. Communication is key because it also lets you pin down the attractions everyone agrees on. Spa day, anyone?
Keep the practical in mind. Here’s an area where “what you need” comes to the forefront. Many travelers need to consider their medical situation when abroad. Talk to your medical professionals when you are sketching out your trip and, from there, see where your health coverage might factor into your decisions. It may be as simple as knowing how to get hold of a crucial medication in an emergency or what sort of insurance coverage you might want when far from home. It doesn’t stop there. If you’re going to be in another country for weeks, who will look after your home and do the little things, like watering the plants and feeding your pets? If you’re spending several months in another country, are there any tax implications?
That last question is a good one for me, incidentally. We'd love to talk with you about your travel ambitions and go over a few details, especially those related to your finances!