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Existing home sales fell 5.9% Existing home sales plummet but inventory stays low. Existing home sales fell 5.9% Although the rate of sales is slowing dramatically, the market is still short on supply of homes. At the current sales rate, it would take roughly three months to clear inventory [Figure 2].
But stocks regained some momentum on Wednesday and rallied Thursday despite disappointing reports on both retail sales and industrial production for January. Existing Home Sales. It should not be considered a solicitation for the purchase or sale of the securities. a Registered InvestmentAdvisor.
Economic Strength, Housing Weakness The economy continued to evidence surprising strength according to data released last week. Despite worries of a struggling consumer, consumers increased their spending as retail sales rose 0.7% Existing home sales were weak, falling 2.0% Wednesday: New Home Sales. month-over-month.
To put that in perspective, Nvidia’s market cap is now roughly the same size as Canada’s economy. It should not be considered a solicitation for the purchase or sale of any company connected with AI. 3,4 This Week: Key Economic Data Monday: New Home Sales. a Registered InvestmentAdvisor.
The economy added 275,000 jobs in February—exceeding the 198,000 expected—but wage growth slowed, and jobless claims edged up. Some investors saw that as a negative, while others viewed it as a “Goldilocks” moment—an economy that’s not too hot or cold. Retail Sales. a Registered InvestmentAdvisor.
Undaunted by another Fed rate hike and news of a contracting economy, the stock market rallied last week on better-than-expected corporate earnings. Powell indicated that it might become appropriate to slow the pace of future hikes, and he didn’t believe the economy had entered into recession. Economy Contracts .
Consumers Remain Upbeat With all the excitement over AI, it’s easy to overlook some key economic indicators that also speak to the underlying strength of the economy—specifically, consumer data. Finally, the PCE report also reflected an ongoing consumer shift from goods to services—a sign the economy continues to normalize after the pandemic.
4,5 Stocks dropped again on Friday as strong October retail sales seemed to reinforce Powell’s comments about Fed rate adjustments. Ironically, strong retail sales numbers—while a sign of a strong economy—send a mixed message to investors. Thursday: Existing Home Sales. 6 Source: YCharts.com, November 16, 2024.
The rally continued through Thursday, boosted further by news that existing home sales rose 9.5 He added that if the economy keeps on its current course, that the FOMC would likely “begin dialing back policy restraint at some point this year.” 4,5 This Week: Key Economic Data Monday: New Home Sales. Pending Home Sales.
economy has come into the spotlight. An analysis conducted by The Wall Street Journal recently proposed that the economy’s resilience could be attributed, at least in part, to the productivity driven by the technology sector. Retail Sales. InvestmentAdvisor Representative, Cambridge Investment Research Advisors, Inc.,
1,2 Q3 Reports Uninspired Stocks rallied early Wednesday after the gross domestic product report showed a strong economy that appeared on the path to a soft landing. This Week: Key Economic Data Monday: Motor Vehicle Sales. It should not be considered a solicitation for the purchase or sale of the securities. Factory Orders.
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 own goals, time horizon, and tolerance for risk. The return and principal value of investments will fluctuate as market conditions change.
Meanwhile, positive earnings surprises from “old economy” companies powered markets higher. 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 own goals, time horizon, and tolerance for risk.
1,2,3 Stocks Rise On Slowing Economy Investor sentiment turned positive last week as signs of economic softness were interpreted as reason for the Fed to hold off on further rate hikes. It should not be considered a solicitation for the purchase or sale of the securities. a Registered InvestmentAdvisor.
Instead, investors interpreted it as confirmation of a robust economy. 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 own goals, time horizon, and tolerance for risk. a Registered InvestmentAdvisor.
Jobs and services sector news painted a better picture of the economy on Thursday, but as the 10-year Treasury hit 4%, stock prices responded negatively. It should not be considered a solicitation for the purchase or sale of the securities. The return and principal value of investments will fluctuate as market conditions change.
Perhaps the market’s biggest fear has been that the Fed may overdo its tightening to fight inflation and send the economy into a painful recession, break something, or both. He acknowledged that the economy is slowing (which is what the Fed wants) and that the full effect of the rate hikes had not yet been felt. Of course, the U.S.
economy added a whopping 517,000 jobs in January, more than double the previous month. Home sales picked up. In a return to a now-familiar “good news is bad news” dynamic, these reports stirred fears that the economy is still running too hot and that the Federal Reserve will have to continue raising rates.
Whether it’s about the markets and global economy or what’s happening in our local communities, the news we’re hearing on a daily basis has the potential to disrupt the balance of our lives. LPL Research’s Outlook 2023: Finding Balance is our guide to how the readjustments in the economy and markets may impact you in the coming year.
1,2,3 Possible Debt Deal After stumbling on weak April retail sales and a combination of disappointing earnings and weak guidance from a major retailer, stocks moved higher mid-week as the news on the debt negotiations turned more positive. decline in April existing home sales. New Home Sales. An unexpected 2.2% Jobless Claims.
There will be some challenges ahead for the economy as the Federal Reserve (Fed) continues to raise rates to control inflation. We believe the Fed is doing the right thing for the long-term health of the economy, but it does increase near-term economic risks. in August of this year. At the same time, inflation is decelerating.
Suggesting an economy makes “no landing” makes no sense. Economic activity does not stop like an airplane eventually does, but rather the economy will settle into a steady state where growth is consistent with factors such as population and productivity. Analogies eventually break down, especially this one. Why The “Landing” Analogy?
A global economy that was already vulnerable to inflation from supply chain disruptions, tight labor markets, excess stimulus, and loose monetary policy came under more pressure when Russian aggression in Ukraine added sharply rising commodity prices and Europe on the brink of recession to the mix. The sources of turbulence are clear.
economy contracted for the second straight quarter. With a strong, even if slowing, job market and resilient consumer spending, we believe not enough sectors of the economy are contracting to qualify as an official recession. Given the slowing economy, intense cost pressures, and a strong U.S. All index data from FactSet.
economy remain relatively strong. economy indeed fall into recession, the consensus is indicating a shallow recession may be a likely outcome. Index performance is not indicative of the performance of any investment and do not reflect fees, expenses, or sales charges. over the subsequent six months, rising every time.
Sustained declines in inflation, a rate hike cycle nearing an end, and a resilient economy that may avoid recession resulted in a broad-based rally. Retail Sales. Friday: Existing Home Sales. It should not be considered a solicitation for the purchase or sale of the securities. a Registered InvestmentAdvisor.
Falling yields further lifted investor enthusiasm, as did new economic data indicating a cooling economy. Friday: Retail Sales. It should not be considered a solicitation for the purchase or sale of the securities. The return and principal value of investments will fluctuate as market conditions change. Jobless Claims.
Economic and corporate data support the initial strong reads on holiday retail sales despite the macro headwinds, reinforcing the idea that today’s consumer is in a better position than usual at this point in the business cycle. Retail Sales Data Supports Initial Holiday Shopping Trends. over the last 20 years, pre-2020.
It should not be considered a solicitation for the purchase or sale of the company. Several pieces of data helped build a narrative that the economy may be coming in for a soft landing. Some market watchers were concerned about the Q2 revision after pending home sales in July hit its lowest monthly level in 23 years.
That and a stronger-than-expected holiday retail sales report put pressure on stock prices. The week was full of economic news that suggested continued resilience in the economy, which may add complexity to the Fed’s next decision. December retail sales came in strong, +0.6% a Registered InvestmentAdvisor.
Despite the week’s losses, stocks exhibited resiliency in the face of a string of troubling economic news that included flat retail sales, weak housing numbers, an inversion in the yield curve, and tepid economic data out of China. New Home Sales. It should not be considered a solicitation for the purchase or sale of the securities.
1 Nasdaq, S&P Extend Runs ADP’s employment report on Wednesday showed private-sector employers added 150,000 jobs in June—slightly slower than May’s pace—adding to investor hopes that a slowing economy may prompt the Fed to adjust short-term rates as early as September. a Registered InvestmentAdvisor.
The key to getting the market back into balance is a bigger labor force, and the economy is starting to experience a larger labor force as individuals come off the sidelines and rejoin the job market. The global economy is complex, and a simplification of reality always introduces distortions, so perhaps we should zoom out a bit.
As the week progressed, stocks gained momentum as earnings results poured in from different sectors of the economy, showing that businesses were navigating higher inflation and slowing growth better than investors feared. month-over-month decline in June’s existing home sales, representing the slowest pace since June 2020.
4 Powell’s Congressional Testimony Fed Chair Powell last week testified on Capitol Hill during which he acknowledged that the economy was running hotter than he had expected. Retail Sales. It should not be considered a solicitation for the purchase or sale of the securities. a Registered InvestmentAdvisor.
Outlook The company expects demand trends to improve in the second half of the year, supported by favorable monsoon conditions and government investments in rural economies. Investors must therefore exercise due caution while investing or trading in stocks. Please consult your investmentadvisor before investing.
The rally came to pass despite fresh data showing a slowing economy and increasing inflationary pressures. The GDP report seemed to support the Goldilocks economy theory—not too hot, but not too cool—a story investors have favored this year. Thursday: Motor Vehicle Sales. a Registered InvestmentAdvisor.
Employers added 315,000 jobs in August, maintaining the labor market’s remarkable resiliency amid a contracting economy. 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 own goals, time horizon, and tolerance for risk.
Pending Home Sales. 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 own goals, time horizon, and tolerance for risk. The return and principal value of investments will fluctuate as market conditions change.
2 With the back half of the week packed with fresh economic data, conflicting stories developed about the economy. New home sales fell 11.3 Motor Vehicle Sales. It should not be considered a solicitation for the purchase or sale of the securities. a Registered InvestmentAdvisor. Construction Spending.
Weekly Market Insights: Economy Continues Upward Trend Presented by Cornerstone Financial Advisory, LLC Stocks posted gains for the week to close out a stellar month, aided by positive economic data and reports that all major banks had passed the Federal Reserve’s annual stress test. a Registered InvestmentAdvisor.
Friday morning’s disappointing June jobs report raised even more concerns about the economy’s strength. However, as the week progressed, investors started questioning whether the Fed was misreading the economy and moving too slowly in adjusting interest rates. a Registered InvestmentAdvisor.
Index performance is not indicative of the performance of any investment and do not reflect fees, expenses, or sales charges. Securities and advisory services offered through LPL Financial (LPL), a registered investmentadvisor and broker-dealer (member FINRA/SIPC). All index data from FactSet.
1 All Eyes On The Jobs Report Weak manufacturing data prompted declines early in the week, reflecting investor concerns over the economy’s strength. The Catalyst That Wasn’t The week closed with a jobs report that underscored the economy’s resilience while highlighting the data’s mixed nature. percent from a year ago.
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