Financial News and Portfolio Management Discussion through October 21st
US Stocks ended the week at new record highs on strong earnings growth. The S&P 500 gained 0.8% for the week. The Dow closed above 23,000 for the first time during the week and it ended up 2.0%. Abroad, Europe fell 0.3% and Japanese stocks reached their highest level since 1996, rising 1.4% for the week. The yield on the 10 year Treasury rose after the Senate passed a budget blueprint, the first step towards tax reform. The yield ended the week at 2.38%, the highest close since July.
Yellen still expects the Fed to gradually raise interest rates, but they would be cautious due to the recent weak inflation numbers.
Analysts expect earnings’ of S&P 500 companies to gain 4.2% in the third quarter. Of the S&P 500 companies that have reported earnings to date 75% have outpaced estimates.
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.
Image courtesy of nbcnews.com