Financial News and Portfolio Management Discussion through January 22nd
US Stocks hit new record highs as fourth quarter corporate earnings have topped expectations and companies have issued optimistic outlooks. The Dow rose above 26,000 on the week and gained 1.0%. The S&P 500 climbed 0.9%. Internationally, Japan gained 0.7% and Europe rose 0.6% for the week. The yield on the 10 year Treasury finished the week at 2.64% its highest level since July 2014, while the dollar hit its lowest level in more than three years. Oil was down 1.4% for the week closing at $63.37 a barrel.
Industrial production jumped 0.9% in the US in December driven by utilities output.
China’s growth accelerated for the first time in seven year posting a 6.9% GDP for 2017 driven by rising demand at home and abroad. However, multiple indicators show that momentum is weakening heading into 2018.
The US government shutdown on Friday at midnight as a new spending agreement was unable to be reached.
The US is expected to outpace Saudi Arabia in 2018 in oil production making the US the world’s second largest oil producer.
Citigroup, B of A, IBM and Morgan Stanley posted positive earnings reports or issued strong guidance while Goldman Sachs and American Express disappointed.
Apple announced it would ramp up its US spending, investing $30 billion in the US over the next five years.
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.