Weekly Market Wrap: The S&P 500 index suffered its worst week since 2011 as global growth concerns continue and the US government shutdown looms.
For The Week
- The S&P 500 plummeted 7.05% to 2,416.58
- Oil slumped 10.96% to $45.59
- Gold gained 1.40% to $1,255.85
- The US dollar fell 0.43% at $97.02 against other major world currencies.
2018 Year-To Date for the major indexes:
- The S&P Index -9.61%
- The Dow Jones Index -9.20%
- The NASDAQ Index -8.26%
- The Russell 2000 Small cap Index -15.86%
- EAFE International Index -18.15%
- 10 Year Treasury Yield is 2.79%, lower for the week and higher for the year
- 30 Year Treasury Yield is 3.03%, lower for the week and higher for the year
- WTI Crude Oil Index -24.21%
- Bloomberg Gold Index -3.64%
- The Dollar Index +5.15% against other major world currencies
Monday the S&P 500 slumped 54 points on heavy volume as NY manufacturing fell and missed estimates while homebuilder sentiment also fell and missed expectations.
Tuesday stocks gained less than 1 point on heavy volume as both building permits and housing starts rose and beat expectations.
Wednesday the markets dropped 39 points on heavy volume as mortgage applications fell, existing home sales rose and beat estimates and the Federal Reserve raised rates ¼% as expected and indicated that future increases would be more data dependent.
Thursday stocks fell 40 points on heavy volume as jobless claims fell and beat estimates while leading economic indicators rose and beat expectations.
Friday stocks plummeted 51 points on very heavy volume as durable goods orders rose but missed estimates, PCE prices rose more than expected, personal income rose less than expected, personal spending rose more than expected, consumer sentiment rose and beat expectations while 3Q GDP final estimate was revised slightly lower to 3.4% just below estimates.
Mortgage rates were mixed on the week. The national averages as reported by Bankrate.com indicate a 15-year rate of 3.82% and a 30-year rate of 4.59%. These rates are as of 12/24/2018 and may include points.
What to watch for on the economic calendar this week:
Monday – No major data
Tuesday – No major data – Merry Christmas!
Wednesday – Shiller Home Prices
Thursday – Jobless Claims / Mortgage Applications / Consumer Confidence / New Home Sales / FHFA Home Prices
Friday – Pending Home Sales
Ronald J. VanSurksum, CFP®
Advanced Asset Management, LLC
December 24, 2018