Weekly Market Wrap: Stocks rebounded this week and enjoyed the best gains of 2019 on mixed economic data and Fed comments of possible rate cuts due to the US-China trade war.
For The Week
- The S&P 500 rose 4.41% to 2,873.34
- Oil gained 0.92% to $53.99
- Gold added 2.68% to $1,341.10
- The US dollar fell 1.22% at $96.58 against other major world currencies.
2019 Year-To Date for the major indexes:
- The S&P Index +14.62%
- The Dow Jones Index +11.39%
- The NASDAQ Index +16.68%
- The Russell 2000 Small cap Index +12.30%
- EAFE International Index +11.46%
- 10 Year Treasury Yield is 2.08%, lower for the week and lower for the year
- 30 Year Treasury Yield is 2.57%, lower for the week and lower for the year
- WTI Crude Oil Index +18.89%
- Bloomberg Gold Index +4.57%
- The Dollar Index +0.50% against other major world currencies
Monday the S&P 500 index fell 8 points on moderately-heavy volume as construction spending was flat and missed estimates while ISM manufacturing fell and missed expectations.
Tuesday stocks jumped 59 points on moderate volume as factory orders fell but beat estimates.
Wednesday the S&P 500 added 23 points on moderate volume as mortgage applications rose, ISM non-manufacturing rose and beat expectations while ADP employment missed showing fewer jobs added than expected.
Thursday stocks gained 17 points on moderate volume as jobless claims were flat but beat estimates, worker productivity fell and matched estimates while unit labor costs fell more than expected.
Friday the markets rose 30 points on moderate volume as the May jobs report disappointed adding 75,000 new jobs, unemployment remained at 3.6% beating estimates, average hourly earnings rose 0.2% which was less than expected and consumer credit use rose and beat expectations.
Mortgage rates were mixed on the week. The national averages as reported by Bankrate.com indicate a 15-year rate of 3.27% and a 30-year rate of 4.03%. These rates are as of 06/10/2019 and may include points.
What to watch for on the economic calendar this week:
Monday – No major data
Tuesday – Producer Prices
Wednesday – Mortgage Applications / Consumer Prices
Thursday – Jobless Claims / Import & Export Prices
Friday – Consumer Sentiment / Retail Sales / Industrial Production & Capacity Utilization
Ronald J. VanSurksum, CFP®
Advanced Asset Management, LLC
June 10, 2019