Stockathlon

July 19, 2021

  Despite good earnings from the major banks and some other companies in the first week of second quarter earnings reporting, the market averages struggled in the back half of the week. Continued presence of inflationary pressures and unknown potential impact of the COVID Delta variant led investor concerns. The S&P 500 Index closed the …

Employment Focus

July 6, 2021

  Equity markets closed higher for the week with the S&P 500 Index +1.7%, the NASDAQ +2.7% and the Dow +1.1%. The U.S. 10-year Treasury bond yield decreased to 1.431% at Friday’s close versus 1.524% the previous week. The June employment report was the major news story ahead of the Independence Day holiday weekend. The …

Half-Time

June 28, 2021

  Heading into the end of the first half of the year, all three major equity market averages have so far posted double-digit returns with the S&P 500 Index +14.8%, the NASDAQ +11.7% and the Dow +13.6%. The PCE Price Index for May was +0.4% month-over-month and 3.9% year-over-year. Energy prices were 27.4% higher year-over-year …

Dot Plot

June 21, 2021

  The Federal Reserve increased its outlook for U.S. economic growth but maintained its narrative that current inflationary pressures are likely to be transitory as the early part of the post-COVID economic recovery moderates to longer-term sustainable growth. The Dow Jones Industrial Average closed the week –3.4% and the S&P 500 Index was –1.9%. The …

Tea Leaves

June 14, 2021

  Despite continued inflation pressures seen in the May Consumer Price Index (CPI) report, the markets rallied into week’s end. The Dow Jones Industrial Average closed the week –0.8%%, but the S&P 500 Index was +0.4%, and the NASDAQ 100 Index was +1.7%. The U.S. 10-year Treasury bond yield decreased to 1.462% at Friday’s close …

Tip of the Taper

June 7, 2021

  The weaker than forecast employment report rallied stocks and bonds on Friday on the expectation it would keep the Fed on hold. This was despite the Fed’s announcement it would begin selling the excess corporate bonds and ETFs it purchased during the pandemic to stabilize markets. The Dow Jones Industrial Average closed the week …

Mix and Mingle

June 1, 2021

  Investors appear to be absorbing the inflation story well as the equity markets all posted positive returns for the week. The Dow Jones Industrial Average closed the week +1.0%, the S&P 500 Index was +1.2%, and the NASDAQ 100 Index was +2.0%. The U.S. 10-year Treasury bond yield decreased to 1.593% at Friday’s close …

Hitting the Road

May 24, 2021

  It was a mixed week in the equity market with the NASDAQ 100 Index in the green and the S&P 500 Index and Dow Jones Industrial Average in the red. The Dow Jones Industrial Average closed the week –0.4%, the S&P 500 Index was –0.4%, and the NASDAQ 100 Index was +0.2%. The U.S. …