Weekly Market Wrap: Stocks rebounded this week despite a missed durable goods order report and a 1st quarter GDP report that only matched expectations.
For The Week
- The S&P 500 gained 1.74% to 1,582.24
- Oil surged 5.31% to $92.96
- Gold rebounded 3.97% to $1,456.84
- The US Dollar slipped 0.30% to $82.48 against other major world currencies.
2013 Year-To-Date for the major indexes:
- The S&P index +10.94%
- The Dow Jones Index +12.27%
- The NASDAQ Index +8.60%
- The Russell 2000 Small cap Index +10.11%
- EAFE International Index +7.83%
- 10 Year Treasury Yield is 1.66%, lower for the week and lower for the year
- 30 Year Treasury Yield is 2.86%, lower for the week and lower for the year
- WTI Crude Oil Index +1.24%
- Bloomberg Gold Index -12.97%
- The Dollar Index +3.35% against other major world currencies
Monday the S&P 500 added 7 points on moderate volume as existing home sales drop but positive news overseas helped push stocks higher.
Tuesday the index gained 16 points on moderate volume as US earnings push stocks higher, new home sales beat expectations, mid-Atlantic manufacturing contracts, Chinese manufacturing slowed, Eurozone business activity continues to contract and a fake tweet by the AP press sends stocks plummeting 1% before gaining it all back within a 4 minute span.
Wednesday stocks were flat on moderate volume as durable goods orders missed, mortgage applications were flat and earnings disappointments failed to give the market any momentum.
Thursday the index added another 6 points on moderate volume as US jobless claims dropped.
Friday stocks slipped 3 points on light volume as the 1st quarter GDP met expectations at 2.5% but consumer sentiment was revised higher.
Takeaways from this week:
- Stocks re-gained positive momentum after a slight pull-back last week on some positive 1st quarter earnings reports but despite lackluster economic data.
- A fake tweet through a hacked AP twitter account sent stocks down 1% before an almost immediate bounce back failed to shake investor confidence in the markets.
- Rumors of additional ECB stimulus pushed international stocks higher for the week as well.
Mortgage rates were lower once again this week. The national averages as reported by Bloomberg indicate a 15-year rate of 2.67% and a 30-year rate of 3.43%. These rates are as of 04/26/2013 and may include points.
What to watch for on the economic calendar next week:
Monday – Personal Income and Outlays / Pending Home Sales / Dallas Manufacturing
Tuesday – Employment Costs / Home Prices / Consumer Confidence / Chicago Manufacturing
Wednesday – April Motor Vehicle Sales / ADP Employment / PMI & ISM Manufacturing
Thursday – Jobless Claims / Productivity and Costs
Friday – April Employment Report / Factory Orders / ISM Non-Manufacturing
Ronald J. VanSurksum, CFP®
Advanced Asset Management, LLC
April 28, 2013