With Treasury 10-year-note yields approaching their lowest this year, we take a look at the slowing economy and what it may signal for the markets. We then turn to a discussion of how to make your retirement portfolio last longer. While conventional wisdom leads many retirees to tap Social Security early and delay touching their IRA savings, the opposite strategy may be more helpful in the long run. Low interest rates make wealth accumulation more challenging for savers, but they are here to stay for the forseeable future. Our next article explains financial repression and why low interest rates have become a fixture of government policy here and abroad. Our last entry this week is from Jeremy Grantham, founder of the multi billion dollar investment management firm GMO. In “The Race of Our Lives”, he talks about the competition between innovators and defenders of the status quo in a race that may determine the fate of our global economy.

Treasury 10-Year Yield At Almost 2013 Low As U.S. Spending Slows-Treasury 10-year-note yields traded at almost the lowest this year as U.S. personal spending slowed last month, signaling reduced economic growth and underpinning demand for the securities. Susanne Walker writes for Bloomberg about the slowdown in consumer spending and its effect on the markets.

Tap An IRA Early, Delay Social SecurityThis strategy could lower your lifetime tax bite, let you collect higher  benefits and extend the longevity of your portfolio.  http://www.kiplinger.com/article/retirement/T051-C000-S004-tap-an-ira-early-delay-social-security.html

Financial Repression: Why It MattersFinancial  repression refers to a set of governmental policies that keep real  interest rates low or negative with the unstated intention of  generating cheap funding for government spending. The ramifications of  these policies will be measured in decades, not years.  Shane Sheperd of Research Affiliates explains why.

The Race of Our LivesJeremy Grantham, founder of the multi billion dollar investment management firm GMO, writes an article which is a must-read each quarter. He discusses how our global economy, reckless in its use of all resources and natural systems, shows many of the indicators of potential failure that brought down civilizations in the past. By sheer luck, though, ours has two features that might just save our bacon: declining fertility rates and progress in alternative energy. http://www.gmo.com/websitecontent/GMO_QtlyLetter_1Q2013.pdf

We hope you enjoy reading these articles along with us and that you find them informative.  Please forward this to your friends and family.

John R. Day, Bill Ennis and Stephanie Davidson


Disclosure – The articles mentioned in Mid Week with Day & Ennis are for information and educational purposes only. They represent a sample of the numerous articles that the firm reads each week to stay current on financial and economic topics. The articles are linked to websites separate from the Day & Ennis website. The opinions expressed in these articles are the opinions of the author and not Day & Ennis. This is not an offer to buy or sell any security. Day & Ennis is under no obligation to update any of the information in these articles. We cannot attest to the accuracy of the data in the articles.