Weekly Market Wrap: Stocks resumed moving higher despite terrorist attacks overseas and indications of a likely Fed interest rate hike in December.
For The Week
- The S&P 500 gained 3.27% to 2089.17
- Oil was rose 2.85% to $40.90
- Gold slipped 0.40% to $1,077.65
- The US Dollar added 0.66% to $99.60 against other major world currencies.
2015 Year-To Date for the major indexes:
- The S&P Index +1.47%
- The Dow Jones Index 0.00%
- The NASDAQ Index +7.79%
- The Russell 2000 Small cap Index -2.45%
- EAFE International Index +0.13%
- 10 Year Treasury Yield is 2.29%, higher for the week and higher for the year
- 30 Year Treasury Yield is 3.04%, flat for the week and higher for the year
- WTI Crude Oil Index -21.34%
- Bloomberg Gold Index -8.90%
- The Dollar Index +10.32% against other major world currencies
Monday the S&P 500 index surged 30 points on moderate volume as NY manufacturing remained in contraction territory and missed estimates. Terrorist attacks in France over the weekend had investors initially on edge.
Tuesday the index slipped 3 points on heavy volume as consumer prices rose in-line with estimates, industrial production was mixed, and the housing market index fell but remained strong.
Wednesday the index jumped 33 points on moderately-heavy volume as mortgage applications rose, housing starts fell and missed but permits rose, and FOMC minutes pointed to a likely rate hike in December. Overseas France raided a terrorist apartment and killed the probable mastermind of the recent attacks.
Thursday the index dropped 2 points on moderate volume as weekly jobless claims fell but missed estimates, Philly manufacturing rose and beat, while leading economic indicators also rose and beat expectations.
Friday the S&P 500 index gained 8 points on moderate volume with no major data releases.
Takeaways from this week:
- Stocks regained momentum this week despite terrorist attacks in France and an increased likelihood of a rate hike in December.
- Treasury yields rose slightly while mortgage rates jumped.
- Overseas stocks posted nice gains on the week as well.
Mortgage rates were higher for the week. The national averages as reported by Bankrate.com indicate a 15-year rate of 3.08% and a 30-year rate of 3.92%. These rates are as of 11/23/2015 and may include points.
What to watch for on the economic calendar this week:
Monday –PMI Manufacturing / Existing Home Sales
Tuesday – GDP / Shiller Home Prices / Consumer Confidence
Wednesday –Mortgage Applications / Jobless Claims / Durable Goods Orders / Personal Income and Outlays / New Home Sales / Consumer Sentiment / PMI Services
Thursday –Happy Thanksgiving!
Friday – No Major Data
Ronald J. VanSurksum, CFP®
Advanced Asset Management, LLC
November 23, 2015