|
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WEEKLY QUOTE
“Price
is what you pay. Value is what you get.”
- Warren Buffett
WEEKLY TIP
Are
your antiques and collectibles worth more than they used to be? Their current
value should be accurately stated on your homeowner insurance policy.
Otherwise, an insurer may not reimburse you for their full value if they are
lost or damaged.
WEEKLY RIDDLE
A
6-foot chain is suspended with its ends nailed to a wall, with the nails
parallel to the floor. The chain sags and hangs down between the nails; the
height of the hanging chain is therefore 3 feet from top to bottom. What is
the distance in between the nails?
Last week’s riddle:
Take three letters, arrange them one way, and you have a word for
“conflict.” Arrange them another way, and you have a word for “uncooked.”
What are the three letters?
Last week’s answer:
A, R, and W.
|
September
28, 2017
FEDERAL
RESERVE: UNWINDING WILL BE GRADUAL
Last Wednesday, the country’s central bank detailed how it
would shrink its mammoth balance sheet. During the fourth quarter, the Fed
will unload $10 billion of maturing bonds per month; in each subsequent
quarter, the monthly runoff will increase by $10 billion until reaching a
limit of $50 billion. Fed chair Janet Yellen said that this schedule is set
in stone, barring a “sufficiently great” economic threat. The Fed made no interest
rate move last week, but 12 of 16 Fed officials do project a hike before 2017
ends.1
HOME SALES
RETREAT AGAIN
In August, existing home sales fell for the fourth time in
five months. Resales decreased 1.7% to a seasonally adjusted annual pace of
5.35 million, a 12-month low, according to the National Association of
Realtors. Two factors hindered would-be buyers: a median house price of
$253,500 and a 2.1% monthly reduction in inventory (the supply of homes for
sale was 6.5% greater in August 2016).2
BUILDING
PERMITS UP 5.7% IN AUGUST
This good news was countered by last month’s 0.8%
reduction in groundbreaking. The Census Bureau’s report on August
construction activity showed the rate of issuance for permits 8.3% above
where it was a year earlier; the pace of starts was 1.4% improved. Starts for
single-family homes were up 17.1% in 12 months.3
A MIXED WEEK
FOR EQUITIES
Leading the way among the three major indices last week,
the Dow Jones Industrial Average rose 0.36% in five days to 22,349.59. The
S&P 500 made a smaller advance of 0.08% to 2,502.22. The Nasdaq Composite
took a weekly loss of 0.33%, settling Friday at 6,426.92.4
THIS WEEK: On Monday, Red Hat reports quarterly
results. August new home sales numbers, the latest S&P/Case-Shiller home
price index, the September Conference Board consumer confidence index, and
earnings from Cintas, Darden Restaurants, Micron Technology, and Nike all
arrive on Tuesday. Earnings announcements from Jabil Circuit, Pier 1 Imports,
Thor Industries, and Worthington Industries complement reports on August
durable goods orders and pending home sales, Wednesday. Thursday, the federal
government’s second estimate of Q2 GDP and a new initial jobless claims
report appear; also, Accenture, Blackberry, Conagra Brands, KB Home, and Rite
Aid present earnings. The August personal spending report, the Federal
Reserve’s August PCE price index, and the final September University of
Michigan consumer sentiment index surface Friday.
Sources: wsj.com, bigcharts.com, treasury.gov - 9/22/174,5,6,7
Indices
are unmanaged, do not incur fees or expenses, and cannot be invested into
directly. These returns do not include dividends. 10-year TIPS real yield =
projected return at maturity given expected inflation.
|
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«RepresentativeDisclosure»
This material was prepared by
MarketingPro, Inc., and does not necessarily represent the views of the
presenting party, nor their affiliates. The information herein has been
derived from sources believed to be accurate. Please note - investing
involves risk, and past performance is no guarantee of future results.
Investments will fluctuate and when redeemed may be worth more or less than
when originally invested. This information should not be construed as
investment, tax or legal advice and may not be relied on for the purpose of
avoiding any Federal tax penalty. This is neither a solicitation nor
recommendation to purchase or sell any investment or insurance product or
service, and should not be relied upon as such. All market indices discussed
are unmanaged and are not illustrative of any particular investment. Indices
do not incur management fees, costs and expenses, and cannot be invested into
directly. All economic and performance data is historical and not indicative
of future results. The Dow Jones Industrial Average is a price-weighted index
of 30 actively traded blue-chip stocks. The NASDAQ Composite Index is a
market-weighted index of all over-the-counter common stocks traded on the
National Association of Securities Dealers Automated Quotation System. The
Standard & Poor's 500 (S&P 500) is a market-cap weighted index
composed of the common stocks of 500 leading companies in leading industries
of the U.S. economy. NYSE Group, Inc. (NYSE:NYX) operates two securities
exchanges: the New York Stock Exchange (the “NYSE”) and NYSE Arca (formerly
known as the Archipelago Exchange, or ArcaEx®, and the Pacific Exchange).
NYSE Group is a leading provider of securities listing, trading and market
data products and services. The New York Mercantile Exchange, Inc. (NYMEX) is
the world's largest physical commodity futures exchange and the preeminent
trading forum for energy and precious metals, with trading conducted through
two divisions – the NYMEX Division, home to the energy, platinum, and
palladium markets, and the COMEX Division, on which all other metals trade.
Additional risks are associated with international investing, such as
currency fluctuations, political and economic instability and differences in accounting
standards. This material represents an assessment of the market environment
at a specific point in time and is not intended to be a forecast of future
events, or a guarantee of future results. MarketingPro, Inc. is not
affiliated with any person or firm that may be providing this information to
you. The publisher is not engaged in rendering legal, accounting or other
professional services. If assistance is needed, the reader is advised to
engage the services of a competent professional.
Citations.
1 - nytimes.com/2017/09/20/business/economy/fed-bond-buying.html [9/20/17]
2 - marketwatch.com/story/existing-home-sales-fall-in-august-for-the-fourth-time-in-five-months-2017-09-20
[9/20/17]
3 - forbes.com/sites/samanthasharf/2017/09/19/u-s-housing-starts-slipped-permits-rose-in-august/
[9/19/17]
4 - markets.wsj.com/us
[9/22/17]
5 -
bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=9%2F22%2F16&x=0&y=0
[9/22/17]
5 -
bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=9%2F22%2F16&x=0&y=0
[9/22/17]
5 -
bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=9%2F22%2F16&x=0&y=0
[9/22/17]
5 -
bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=9%2F21%2F12&x=0&y=0
[9/22/17]
5 -
bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=9%2F21%2F12&x=0&y=0
[9/22/17]
5 -
bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=9%2F21%2F12&x=0&y=0
[9/22/17]
5 -
bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=9%2F21%2F07&x=0&y=0
[9/22/17]
5 -
bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=9%2F21%2F07&x=0&y=0
[9/22/17]
5 -
bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=9%2F21%2F07&x=0&y=0
[9/22/17]
6 - treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=realyield
[9/22/17]
7 -
treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=realyieldAll
[9/22/17]
|
Thursday, September 28, 2017
Economic Update for the week of September 28th, 2017
Wednesday, September 20, 2017
Economic Update for the week of September 20th, 2017
|
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WEEKLY QUOTE
“People
need to be reminded more often than they need to be instructed.”
- Samuel Johnson
WEEKLY TIP
Did
you just get a raise or a promotion? Beware of lifestyle creep – the tendency
to spend more when you make more. Be sure to direct appropriate amounts of
your increased income into savings and investments.
WEEKLY RIDDLE
Take
three letters, arrange them one way, and you have a word for “conflict.”
Arrange them another way, and you have a word for “uncooked.” What are the
three letters?
Last week’s riddle:
I walk and run on all fours, and I laugh while stalking my prey,
but I seldom go in for the kill. What animal am I?
Last week’s answer:
A hyena.
|
September 20,
2017
INFLATION SPIKED
IN AUGUST
Economists had long assumed consumer prices would rise abruptly
at some point, and they certainly did last month. The Consumer Price Index increased
0.4% in August, its biggest one-month advance since its 0.6% gain in January.
Higher gas prices were a major influence: they rose 6.3% for August. Core inflation
was up 0.2% after four straight 0.1% monthly gains. Yearly consumer inflation
is now at 1.9%. Wholesale inflation, as measured by the Producer Price Index,
rose 0.2% in August to an annualized pace of 2.4%.1,2
RETAIL SALES
STAGE A LATE-SUMMER RETREAT
Americans cut back on retail purchases during August.
Retail sales declined 0.2%, a disappointment after the 0.3% July gain. The
silver lining: the core number, minus gasoline and auto buying, rose 0.2%.2
CONSUMER
SENTIMENT INDEX DIPS SLIGHTLY
The University of Michigan’s twice-monthly barometer of the
American consumer’s mood fell 1.5 points in its initial September edition. At
a mark of 95.3, the index was still 4.5% above where it was a year earlier.
While the index’s current conditions component hit its highest level in
nearly 17 years, 9% of survey respondents believed that Hurricanes Irma and
Harvey had hurt the overall economy.3
A MILESTONE
FOR THE S&P 500
Recording its highest close ever, the broad equities
benchmark settled at 2,500.23 Friday, capping off a 5-day gain of 1.58% and
attaining its third round-number highpoint of 2017. The Nasdaq Composite
advanced 1.39% for the week to 6,448.47. Setting the pace for the big three,
the Dow Jones Industrial Average added 2.16% last week to close Friday at
22,268.34. The Russell 2000 had an even better week, rising 2.31% to
1,431.71; the CBOE VIX again neared historic lows, dropping 16.09% in five days
to 10.17.4,5
THIS WEEK: On Monday, Steelcase shares quarterly
results. Earnings calls Tuesday include announcements from Adobe Systems,
AutoZone, Bed Bath & Beyond, and FedEx, and investors will also look at
the Census Bureau’s August report on new residential construction. Wednesday,
the Federal Reserve could reveal plans for unwinding its balance sheet as it wraps
up a monetary policy meeting; Wall Street will also consider August existing
home sales numbers and Q3 results from General Mills. A new initial unemployment
claims report arrives Thursday. CarMax and Finish Line present earnings
Friday.
Sources: wsj.com, bigcharts.com, treasury.gov - 9/15/175,6,7,8
Indices
are unmanaged, do not incur fees or expenses, and cannot be invested into
directly. These returns do not include dividends. 10-year TIPS real yield =
projected return at maturity given expected inflation.
|
||||||||||||||||||||||||||||||
Please feel
free to forward this article to family, friends or colleagues.
If you would like us to add them to our distribution list, please reply with their address. We will contact them first and request their permission to add them to our list. |
|||||||||||||||||||||||||||||||
|
|||||||||||||||||||||||||||||||
«RepresentativeDisclosure»
This material was prepared by
MarketingPro, Inc., and does not necessarily represent the views of the
presenting party, nor their affiliates. The information herein has been
derived from sources believed to be accurate. Please note - investing
involves risk, and past performance is no guarantee of future results.
Investments will fluctuate and when redeemed may be worth more or less than
when originally invested. This information should not be construed as investment,
tax or legal advice and may not be relied on for the purpose of avoiding any
Federal tax penalty. This is neither a solicitation nor recommendation to
purchase or sell any investment or insurance product or service, and should
not be relied upon as such. All market indices discussed are unmanaged and
are not illustrative of any particular investment. Indices do not incur
management fees, costs and expenses, and cannot be invested into directly.
All economic and performance data is historical and not indicative of future
results. The Dow Jones Industrial Average is a price-weighted index of 30
actively traded blue-chip stocks. The NASDAQ Composite Index is a
market-weighted index of all over-the-counter common stocks traded on the
National Association of Securities Dealers Automated Quotation System. The
Standard & Poor's 500 (S&P 500) is a market-cap weighted index
composed of the common stocks of 500 leading companies in leading industries
of the U.S. economy. NYSE Group, Inc. (NYSE:NYX) operates two securities
exchanges: the New York Stock Exchange (the “NYSE”) and NYSE Arca (formerly
known as the Archipelago Exchange, or ArcaEx®, and the Pacific Exchange).
NYSE Group is a leading provider of securities listing, trading and market
data products and services. The New York Mercantile Exchange, Inc. (NYMEX) is
the world's largest physical commodity futures exchange and the preeminent
trading forum for energy and precious metals, with trading conducted through
two divisions – the NYMEX Division, home to the energy, platinum, and
palladium markets, and the COMEX Division, on which all other metals trade.
Additional risks are associated with international investing, such as
currency fluctuations, political and economic instability and differences in
accounting standards. This material represents an assessment of the market
environment at a specific point in time and is not intended to be a forecast
of future events, or a guarantee of future results. MarketingPro, Inc. is not
affiliated with any person or firm that may be providing this information to
you. The publisher is not engaged in rendering legal, accounting or other
professional services. If assistance is needed, the reader is advised to
engage the services of a competent professional.
Citations.
1 - cnbc.com/2017/09/14/us-consumer-price-index-aug-2017.html [9/14/17]
2 - investing.com/economic-calendar/
[9/15/17]
3 - sca.isr.umich.edu/
[9/15/17]
4 - bloomberg.com/news/articles/2017-09-15/u-s-stocks-reach-another-milestone-as-s-p-500-vaults-past-2-500
[9/15/17]
5 - markets.wsj.com/us
[9/15/17]
6 -
bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=9%2F15%2F16&x=0&y=0
[9/15/17]
6 -
bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=9%2F15%2F16&x=0&y=0
[9/15/17]
6 - bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=9%2F15%2F16&x=0&y=0
[9/15/17]
6 -
bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=9%2F14%2F12&x=0&y=0
[9/15/17]
6 -
bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=9%2F14%2F12&x=0&y=0
[9/15/17]
6 -
bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=9%2F14%2F12&x=0&y=0
[9/15/17]
6 -
bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=9%2F14%2F07&x=0&y=0
[9/15/17]
6 -
bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=9%2F14%2F07&x=0&y=0
[9/15/17]
6 -
bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=9%2F14%2F07&x=0&y=0
[9/15/17]
7 - treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=realyield
[9/15/17]
8 -
treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=realyieldAll
[9/15/17]
|
Wednesday, September 13, 2017
Economic Update for the week of September 13th, 2017
|
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WEEKLY QUOTE
“An
unhurried sense of time is in itself a form of wealth.”
- Bonnie Friedman
WEEKLY TIP
Grandparents
might want to look at this potential tax break: two-thirds of U.S. states
offer a state income tax deduction for contributions to a 529 college savings
plan. Grandparents are eligible to claim such a deduction if they live in the
state hosting the plan.
WEEKLY RIDDLE
I
walk and run on all fours, and I laugh while stalking my prey, but I seldom
go in for the kill. What animal am I?
Last week’s riddle:
What has a neck, yet no head?
Last week’s answer:
A bottle.
|
September
13, 2017
EQUIFAX BREACH
MAY IMPACT 44% of AMERICANS
Thursday evening, credit reporting agency Equifax disclosed
that hackers had raided its databases this spring, accessing the personal
information of up to 143 million people. Equifax believes that about 209,000
credit card numbers may have been collected in the process, plus numerous
Social Security and driver’s license numbers. Consumers can visit
equifaxsecurity2017.com to see if they may have been affected by the breach.
Equifax is offering a free year of identity theft insurance and credit
monitoring for those at risk.1
SERVICE SECTOR
EXPANDS FASTER
At an August reading of 55.3, the Institute for Supply
Management’s service sector purchasing manager index was 1.4 points improved
from its July mark, indicating a quicker pace of expansion for
non-manufacturing firms in the eighth month of the year. Readings above 50
indicate sector growth.2
DEBT CEILING
RAISED, WITH December 15 Deadline
Congress passed a bill to lift the federal borrowing limit
Friday, after the White House and congressional leaders agreed to extend the
prior, late-September deadline. This measure approves two-and-a-half more
months of funding for the federal government. A $15 billion aid package for hurricane
victims was also included in the legislation.3
THREATS WEIGH
ON EQUITIES
Investors were worried about hurricanes and North Korea
last week, and major index performance reflected those concerns. Across four days
of trading, the Dow Jones Industrial Average lost 0.84% to 21,797.79. The S&P
500 retreated 0.59% to 2,461.43, while the Nasdaq Composite fell 1.13% to
6,360.19.4,5
THIS WEEK: On Monday, nothing major is scheduled. Tuesday,
Apple hosts its annual launch event. On Wednesday, the August Producer Price Index appears, plus earnings
from Cracker Barrel Old Country Store. The August Consumer Price Index, the
latest initial unemployment claims report, and Q3 results from Oracle attract
the attention of investors Thursday. August retail sales data, a report on
August industrial output, and September’s preliminary University of Michigan
consumer sentiment index all arrive Friday.
Sources: wsj.com, bigcharts.com, treasury.gov - 9/8/175,6,7,8
Indices
are unmanaged, do not incur fees or expenses, and cannot be invested into
directly. These returns do not include dividends. 10-year TIPS real yield =
projected return at maturity given expected inflation.
|
||||||||||||||||||||||||||||||
Please feel
free to forward this article to family, friends or colleagues.
If you would like us to add them to our distribution list, please reply with their address. We will contact them first and request their permission to add them to our list. |
|||||||||||||||||||||||||||||||
|
|||||||||||||||||||||||||||||||
«RepresentativeDisclosure»
This material was prepared by
MarketingPro, Inc., and does not necessarily represent the views of the
presenting party, nor their affiliates. The information herein has been
derived from sources believed to be accurate. Please note - investing
involves risk, and past performance is no guarantee of future results.
Investments will fluctuate and when redeemed may be worth more or less than
when originally invested. This information should not be construed as
investment, tax or legal advice and may not be relied on for the purpose of
avoiding any Federal tax penalty. This is neither a solicitation nor
recommendation to purchase or sell any investment or insurance product or
service, and should not be relied upon as such. All market indices discussed
are unmanaged and are not illustrative of any particular investment. Indices
do not incur management fees, costs and expenses, and cannot be invested into
directly. All economic and performance data is historical and not indicative
of future results. The Dow Jones Industrial Average is a price-weighted index
of 30 actively traded blue-chip stocks. The NASDAQ Composite Index is a
market-weighted index of all over-the-counter common stocks traded on the
National Association of Securities Dealers Automated Quotation System. The
Standard & Poor's 500 (S&P 500) is a market-cap weighted index
composed of the common stocks of 500 leading companies in leading industries
of the U.S. economy. NYSE Group, Inc. (NYSE:NYX) operates two securities
exchanges: the New York Stock Exchange (the “NYSE”) and NYSE Arca (formerly
known as the Archipelago Exchange, or ArcaEx®, and the Pacific Exchange).
NYSE Group is a leading provider of securities listing, trading and market
data products and services. The New York Mercantile Exchange, Inc. (NYMEX) is
the world's largest physical commodity futures exchange and the preeminent
trading forum for energy and precious metals, with trading conducted through
two divisions – the NYMEX Division, home to the energy, platinum, and
palladium markets, and the COMEX Division, on which all other metals trade.
Additional risks are associated with international investing, such as
currency fluctuations, political and economic instability and differences in
accounting standards. This material represents an assessment of the market environment
at a specific point in time and is not intended to be a forecast of future
events, or a guarantee of future results. MarketingPro, Inc. is not
affiliated with any person or firm that may be providing this information to
you. The publisher is not engaged in rendering legal, accounting or other
professional services. If assistance is needed, the reader is advised to
engage the services of a competent professional.
Citations.
1 -
wired.com/story/how-to-protect-yourself-from-that-massive-equifax-breach/
[9/7/17]
2 - briefing.com/investor/calendars/economic/2017/09/04-08
[9/8/17]
3 - nytimes.com/2017/09/08/us/politics/hurricane-aid-debt-ceiling.html
[9/8/17]
4 - finance.google.com/finance?q=INDEXDJX%3A.DJI&ei=NPyyWaCWA8mPjAHysZxQ
[9/8/17]
5 - markets.wsj.com/us
[9/8/17]
6 - bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=9%2F8%2F16&x=0&y=0
[9/8/17]
6 - bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=9%2F8%2F16&x=0&y=0
[9/8/17]
6 - bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=9%2F8%2F16&x=0&y=0
[9/8/17]
6 - bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=9%2F7%2F12&x=0&y=0
[9/8/17]
6 - bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=9%2F7%2F12&x=0&y=0
[9/8/17]
6 - bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=9%2F7%2F12&x=0&y=0
[9/8/17]
6 - bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=9%2F7%2F07&x=0&y=0
[9/8/17]
6 - bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=9%2F7%2F07&x=0&y=0
[9/8/17]
6 - bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=9%2F7%2F07&x=0&y=0
[9/8/17]
7 - treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=realyield
[9/8/17]
8 -
treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=realyieldAll
[9/8/17]
|
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