Weekly Market Wrap: Stocks finished higher for the 4th straight week on better than expected retail sales, leading economic indicators surprised higher and consumer sentiment hit a 6 year high.
For The Week
- The S&P 500 gained another 2.07% to 1,667.47
- Oil added 0.18% to $96.04
- Gold fell 6.04% to $1,356.83
- The US Dollar rose 1.35% to $84.27 against other major world currencies.
2013 Year-To-Date for the major indexes:
- The S&P index +16.92%
- The Dow Jones Index +17.17%
- The NASDAQ Index +15.88%
- The Russell 2000 Small cap Index +17.30%
- EAFE International Index +9.97%
- 10 Year Treasury Yield is 1.97%, higher for the week and higher for the year
- 30 Year Treasury Yield is 3.16%, higher for the week and higher for the year
- WTI Crude Oil Index +4.60%
- Bloomberg Gold Index -18.94%
- The Dollar Index +5.59% against other major world currencies
Monday the S&P 500 gained less than a point on light volume as US retail sales beat, inventories were flat and China data disappointed.
Tuesday the index added 17 points on moderate volume as small business optimism beat and US import prices declined.
Wednesday stocks gained 8 points on moderate volume as US industrial production missed, New York area manufacturing was lower, wholesale prices inflation remained low , mortgage applications fell and homebuilder sentiment improved.
Thursday stocks slipped 8 points on moderate volume as US jobless claims disappointed, Philadelphia manufacturing slowed and housing construction was mixed.
Friday the S&P 500 surged 16 points on moderate volume as consumer sentiment hit its highest level in six years and the leading economic indicators beat expectations.
Takeaways from this week:
- Despite lackluster regional manufacturing data out of New York and Philadelphia markets pushed to new highs for the fourth straight week.
- Japan posted a better than expected first quarter growth rate of 3.5% hoping to shake off years of slow growth.
Mortgage rates moved higher again his week. The national averages as reported by Bloomberg indicate a 15-year rate of 2.79% and a 30-year rate of 3.66%. These rates are as of 05/17/2013 and may include points.
What to watch for on the economic calendar next week:
Monday – No major data
Tuesday – Goldman same store sales
Wednesday – Existing home sales / FOMC Minutes
Thursday – Jobless Claims / New Home Sales / PMI Manufacturing
Friday – Durable Goods Orders
Ronald J. VanSurksum, CFP®
Advanced Asset Management, LLC
May 20, 2013