Financial News and Portfolio Management Discussion through January 29th
US Stocks closed the week once again at new record highs driven by strong corporate earnings and economic data. The S&P 500 jumped 2.2% and the Dow surged 2.1% for the week. Internationally, Japan fell 0.7% and Europe % for the week. The yield on the 10 year Treasury finished the week at 2.66%, continuing its recent trend higher. It’s risen 26 basis points since the start of 2018.
Jerome Powell was confirmed as the new chairman.
New tariffs outlined by the Trump administration have increased global trade tensions.
Previously owned home sales slowed in December but overall 2017 was the best year for the housing market since the mid 2000’s. Existing home sales fell 3.6% in December. Inventory is currently at its lowest level since tracking began in 1999. New home sales eased in December but posted a full year of strong growth.
GDP grew 2.6% in the 4th quarter, falling short of expectations and the pace of the past two quarters, but above the 2% average since the early 2000s. GDP growth was 2.5% for all of 2017 the most in three years.
Of the roughly 25% of companies in the S&P 500 to issue earnings reports to date, 77% have beaten estimates. Earnings are on pace to rise 12% from last year.
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 forbes.com