With major stock market indices hovering around all-time highs, some investors continue to worry about the state of the economy. While trends around inflation and jobs have been positive, putting the Fed in a position to cut rates later this year, there are still many concerns in areas such as real estate.

This is because real estate is not just another asset class but a large sector of the economy that impacts consumer net worth, inflation, financial stability and more. What do long-term investors need to know about stresses in the real estate market?

Markets continue to be driven by artificial intelligence stocks and the timing of the Fed's first rate cut. Beyond the day-to-day swings, these drivers reflect important trends in innovation, productivity, and the health of the economy.

They are also the result of the pandemic-era easy money policies and fiscal stimulus measures that led to booms in the tech sector and rapid price increases. As the dust settles on the inflationary episode of the past few years, what should investors do to maintain perspective in their portfolios?

The stock market rally has briefly paused as investors weigh the timing of the first Fed rate cut this cycle. So far this year, the S&P 500 has achieved 16 new all-time highs amid steady economic growth, improving inflation, and the ongoing rally in tech stocks.

Many other asset classes have also contributed to portfolio gains in this environment. Both gold and Bitcoin, for instance, have also reached new highs in recent weeks, rising above $2,185 and $68,399, respectively.

With the presidential election season heating up, there will no doubt be a flurry of daily headlines between now and election day on November 5. A rematch between Joe Biden and Donald Trump seems inevitable with Trump currently leading many presidential polls among registered voters while Biden is raising and spending more campaign funds.

The stock market continues to reach new heights, driven by a stronger-than-expected economy and the largest technology stocks. In particular, Nvidia, a maker of graphics chips used in artificial intelligence applications, recently helped to push markets higher after it beat Wall Street earnings expectations.

This has added to the gains made by the group known as the Magnificent Seven which consists of fast-growing technology companies, many of which have market capitalizations of a trillion dollars or more. In this environment, some investors may be nervous that the market has risen so far, so fast. At the same time, other investors may have a growing fear that they are missing out. How can long-term investors stay balanced when markets have climbed so quickly?