Market Commentary

Retail Sales

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October retail sales rose .3% higher than the .2% expected, and after removing autos, which are high priced and volatile on a month-to-month basis, it was up .2%; a bit less than expected. However, the positive numbers were much better than the month before, where retail sales shrank. Many retailers posted soft results before the […]

Market Commentary

Inflation

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housing market

Consumer prices in October jumped .4% to push annual inflation to 1.8%. However, that is still well below the peak of last year at 3%. A large part of the increase was caused by higher gasoline prices. Inflation remains well contained at the consumer level. Striping out food and energy, two items that tend to […]

Market Commentary

Earnings

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We are near the completion of the earnings season for the third quarter. As always the earnings beat expectations but were they good numbers? Wall Street always guides earnings lower just before the earnings for each quarter are released. They try and manage the expectations of the investors so that when the actual numbers come […]

Market Commentary

The News

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gross domestic product

Markets are rising above old highs; so, are we in the clear for another leg up in the stock market? The Fed said they were going to pause, the partial trade deal with China looks on track and valuations of stocks are high. The prudent investor would suggest that all that good news is built […]

Market Commentary

Income and Spending

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Since our economy is 70% derived from what the consumer does, the monthly reports on their habits is always enlightening. Many watch the consumer confidence numbers but I find that they tend to not actually follow what the consumer ‘does’ but rather what they ’feel’ at the time the survey was taken. This week for […]

Market Commentary

Third Quarter GDP

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Financial Desk with Glasses

The first look at GDP for the third quarter came in at 1.9%, down a tick from 2% in the second quarter. That was better than expected as the experts called for a slow down to 1.6% or so. Consumer spending gets the credit for the better number as spending rose a healthy 2.9% in […]

Market Commentary

Next Week

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earnings report

The FOMC meeting will conclude and make their announcement on interest rate movement. The Fed is expected to lower the rates to 1.5-1.75% from 1.75-2% that exists today. That would be a quarter point drop. Also, next week is the first estimate of the third quarter GDP number and the expectation is for 1.9% growth […]