Financial News and Portfolio Management Discussion through May 16th
US stocks set new record highs as expectations for a Fed rate increase continue to be pushed back. The S&P 500 rose 0.3% and the Dow gained 0.4% for the week. Internationally, Japan was up 1.8% and Europe sank 0.9% for the week. The 10 year treasury yield finished a volatile week flat at 2.14%.
China’s central bank cut interest rates by a quarter percent for a third cut in six months in hopes of reviving economic growth.
The median sale price of a previously owned home rose 7.4% from a year ago and 51 metro areas across the country posted double digits gains from 1Q 2014.
US retail sales were flat in April missing estimates.
Euro zone GDP grew 0.4% in the first quarter driven by a return to growth from Italy and France. It’s the fastest pace for the region in almost 2 years and the region outpaced the US for the quarter.
China has launched a debt for bond swap that will help local governments restructure trillions of debt and encourage banks to lend. It was announced on the heels of more disappointing economic data.
US industrial production contracted 0.3% in April falling for the fifth straight month.
Verizon agreed to buy AOL for $4.4 billion in an attempt to move into TV and online video.
Reposted from the Raffa Wealth Management Blog.
All the news you need to stay informed about what’s currently driving the market – courtesy of Raffa Wealth Management, LLC