Market Cycles, Economic Indicators, and Tactical Strategies

Free CFP Exam lesson in Investment Planning. 16 min read, ~2,459 words.

Four business cycle phases: expansion, peak, contraction, trough, each with distinct GDP, employment, inflation, and earnings patterns. Leading indicators turn before the economy: building permits, yield curve spread, initial claims, S&P 500, consumer expectations, new orders. Coincident indicators confirm the current phase: nonfarm payrolls, industrial production, personal income (ex-transfers). Lagging...

Read the full lesson, free →

Worked examples and practice. Free with a free account, no card.

What this lesson covers

Content
Example 1
Example 2
Common Mistakes
Check Your Understanding
Exam Shortcuts

Learning objectives

D.29

Browse all free CFP lessons or jump into free CFP practice questions.