INVESTMENT INSIGHTS
Stocks were mixed last week ending April 25, 2026 as investors gauged potential outcomes of the Middle East conflict amid an ongoing ceasefire. The Standard & Poor’s 500 Index rose 0.55 percent, while the Nasdaq Composite Index advanced 1.50 percent. By contrast, the Dow Jones Industrial Average fell 0.44 percent. The MSCI EAFE Index, which tracks developed overseas stock markets, declined 2.75 percent.
Mixed Markets As Investors Look Ahead
Stocks were volatile throughout the week with tensions in the Middle East continuing. Solid Q1 corporate earnings results boosted market momentum. Oil prices rose above $100/barrel, and all three major stock averages closed higher, with the S&P 500 and Nasdaq logging new all-time highs. The S&P and Nasdaq recovered from a slump in software stocks, while higher oil prices put stocks under pressure, logging fresh intraday highs along the way. Investors appeared increasingly desensitized to the Middle East conflict.
Consumer Paradox
Fresh news on Friday showed consumer sentiment slipped to an all-time low in April. Consumers may be thinking about inflation, the job market, and geopolitical tensions. However, the paradox is that consumers keep spending. Last Tuesday’s retail sales report showed consumer spending rose 1.7 percent in March, the highest monthly rise in more than 3 years.
Source: Investors Business Daily - Econoday economic calendar; April 24, 2026. The Econoday economic calendar lists upcoming U.S. economic data releases (including key economic indicators), Federal Reserve policy meetings, and speaking engagements of Federal Reserve officials. The content is developed from sources believed to provide accurate information. The forecasts or forward-looking statements are based on assumptions and may not materialize. The forecasts are also subject to revision. WSJ.com, April 17, 2026, Investing.com, April 24, 2026, CNBC.com, April 21, 2026, NBC.com, April 22, 2026, CNBC.com, April 23, 2026, WSJ.com, April 24, 2026, CNBC.com, April 24, 2026, WSJ.com, April 21, 2026.
The Price of patience
When stock prices drop, some investors start asking "shoulda, woulda, coulda” questions about whether to remain invested. But as 2025 illustrates, market timing can be very expensive even if it means missing just a few days. We are here to remind you about the advantages of long-term investing. We are happy to review your long-term risk tolerance and your asset allocation if your situation has changed. Call us today to schedule your review, 281-395-8300.
New Retirement Contribution Limits for 2026
The Internal Revenue Service (IRS) has released new limits for certain retirement accounts for the coming year.
Keep in mind that this update is for informational purposes only, so please consult with an accounting or tax professional before making any changes to your 2026 tax strategy. You can also contact your financial professional, who may be able to provide you with information about the pending changes.
Individual Retirement Accounts (IRAs)
Traditional IRA contribution limits are up $500 in 2026 to $7,500. Catch-up contributions for those over age 50 are up $100 to $1,100, bringing the total limit to $8,600. Remember, once you reach age 73, you must begin taking required minimum distributions from a Traditional IRA in most circumstances. Withdrawals are taxed as ordinary income and, if taken before age 59½, may be subject to a 10% federal income tax penalty.
Roth IRAs
The income phase-out range for Roth IRA contributions increases to $153,000-$168,000 for single filers and heads of household, a $3,000 increase. For married couples filing jointly, the phase-out will be $242,000-$252,000, a $6,000 increase. Married individuals filing separately see their phase-out range remain at $0-10,000. To qualify for the tax-free and penalty-free withdrawal of earnings, Roth 401(k) distributions must meet a five-year holding requirement and occur after age 59½. Tax-free and penalty-free withdrawals can also be taken under certain other circumstances, such as the owner's death.
Workplace Retirement Accounts
Those with 401(k), 403(b), 457 plans, and similar accounts will see a $1,000 increase for 2026, the limit rising to $24,500. Those aged 50 and older will continue to have the ability to contribute an extra $8,000, bringing their total limit to $32,500. Those aged 60, 61, 62, and 63 may enjoy a higher catch-up contribution of $11,250, raising their total contribution limit to $35,750. Once you reach age 73 you must begin taking required minimum distributions from your 401(k) or other defined-contribution plans in most circumstances. Withdrawals are taxed as ordinary income and, if taken before age 59½, may be subject to a 10% federal income tax penalty.
SIMPLE IRA Accounts
A $500 increase in limits for 2026 gives individuals contributing to this incentive match plan a $17,000 stoplight. Pursuant to the SECURE Act 2.0, certain applicable plans have an increased limit of $18,100. Much like a traditional IRA, once you reach age 73, you must begin taking required minimum distributions from a SIMPLE account in most circumstances. Withdrawals are taxed as ordinary income and, if taken before age 59½, may be subject to a 10% federal income tax penalty. As a reminder, this article is for informational purposes only. Consult with an accounting or tax professional before making any changes to your 2025 tax strategy.
Source: https://www.coxglobalassociates.com/resource-center/retirement/new-retirement-contribution-limits
What Is a Roth 401(k)?
While many people are familiar with the benefits of traditional 401(k) plans, others are not as acquainted with Roth 401(k)s. Since January 1, 2006, employers have been allowed to offer workers access to Roth 401(k) plans. As the name implies, Roth 401(k) plans combine features of 401(k) plans with those of a Roth IRA. With a Roth 401(k), contributions are made with after-tax dollars – there is no tax deduction on the front end – but qualifying withdrawals are not subject to income taxes. Any capital appreciation in the Roth 401(k) also is not subject to income taxes.
What to Choose?
For some, the choice between a Roth 401(k) and a traditional 401(k) comes down to determining whether the upfront tax break on the traditional 401(k) is likely to outweigh the back-end benefit of tax-free withdrawals from the Roth 401(k). Please remember, this article is for informational purposes only and is not a replacement for real-life advice, so make sure to consult your tax professional before adjusting your retirement strategy to include a Roth 401(k). Often, this isn’t an “all-or-nothing” decision. Many employers allow contributions to be divided between a traditional 401(k) plan and a Roth 401(k) plan – up to overall contribution limits.
Considerations
One subtle but key consideration is that Roth 401(k) plans aren’t subject to income restrictions like Roth IRAs are. This can offer advantages to high-income individuals whose Roth IRA has been limited by these restrictions. (See accompanying table.)
Source: IRS.gov, 2026 https://www.coxglobalassociates.com/resource-center/retirement/what-is-a-roth-401k
Schedule a review of your accounts by visiting this link: https://calendly.com/meetwithcoxglobal. We are available by phone, zoom, and in person.
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Cox Global Associates, Inc. || 1260 Pin Oak Road, Suite 204 || Katy, TX 77494 || 281.395.8300 https://www.coxglobalassociates.com/ || info@coxglobalassociates.com
Securities and Advisory Services are offered through Geneos Wealth Management, Inc. FINRA, SIPC. Investment advisory services also offered through Cox Global Associates, Inc., A Registered Investment Advisor.
Sources: YCharts.com, January 17, 2026. Weekly performance is measured from Monday, January 12, to Friday, January 16. TR = total return for the index, which includes any dividends as well as any other cash distributions during the period. Treasury note yield is expressed in basis points, WSJ.com, January 12,13, & 16, 2026 , Investing.com, January 16, 2026, CNBC.com, January 12, 14, & 16, 2026. Companies mentioned are for informational purposes only. It should not be considered a solicitation for the purchase or sale of the securities. Investing involves risks, and investment decisions should be based on your goals, time horizon, and risk tolerance. The return and principal value of investments will fluctuate as market conditions change. When sold, investments may be worth more or less than their original cost. Companies may reschedule their earnings reports without notice. The content is developed from sources believed to be providing accurate information. The information in this material is not intended as tax or legal advice. It may not be used for the purpose of avoiding any federal tax penalties. Please consult legal or tax professionals for specific information regarding your individual situation. Articles may be developed and produced by FMG Suite to provide information on a topic that may be of interest. FMG Suite is not affiliated with the named broker-dealer, state- or SEC-registered investment advisory firm. The opinions expressed and material provided are for general information, and should not be considered a solicitation for the purchase or sale of any security.
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