Weekly Market Wrap: Stocks rose last week as the FOMC became more dovish by lowing future interest rate hike expectations and China trade talks continued.
For The Week
- The S&P 500 rose 1.57% to 2,706.53
- Oil rose 2.92% to $55.26
- Gold gained 1.13% to $1,317.84
- The US dollar fell 0.19% at $95.58 against other major world currencies.
2019 Year-To Date for the major indexes:
- The S&P Index +7.97%
- The Dow Jones Index +7.44%
- The NASDAQ Index +9.47%
- The Russell 2000 Small cap Index +11.38%
- EAFE International Index +6.53%
- 10 Year Treasury Yield is 2.69%, lower for the week and lower for the year
- 30 Year Treasury Yield is 3.03%, lower for the week and flat for the year
- WTI Crude Oil Index +21.69%
- Bloomberg Gold Index +2.75%
- The Dollar Index -0.54% against other major world currencies
Monday the S&P 500 lost 21 points on moderate volume with no major data reported.
Tuesday stocks slipped 4 points on moderate volume as consumer confidence fell and missed while Shiller home prices rose but missed expectations.
Wednesday the markets jumped 41 points on moderate volume as mortgage applications fell, ADP jobs rose and beat estimates, pending home sales fell and missed expectations while the FOMC left rates steady as expected.
Thursday stocks added 23 points on heavy volume as jobless claims rose more than expected, Chicago manufacturing fell and missed estimates, employment costs rose a little less than expected and new home sales rose and beat estimates.
Friday stocks rose 2 points on moderate volume as the January jobs report showed 304,000 jobs added, the unemployment rate rose to 4.0% as more workers were looking for jobs, hourly earnings rose but missed estimates while construction spending, ISM Manufacturing and consumer sentiment all rose and beat estimates.
Mortgage rates were lower on the week. The national averages as reported by Bankrate.com indicate a 15-year rate of 3.71% and a 30-year rate of 4.39%. These rates are as of 02/04/2019 and may include points.
What to watch for on the economic calendar this week:
Monday – Auto Sales / Factory Orders
Tuesday – ISM Non-Manufacturing
Wednesday – Mortgage Applications / Productivity and Unit Labor Costs
Thursday – Jobless Claims / Consumer Credit
Friday – No major data
Ronald J. VanSurksum, CFP®
Advanced Asset Management, LLC
February 04, 2019