AAM Weekly Market Wrap – July 18, 2016

Weekly Market Wrap:  Stocks continue higher for 3rd straight week as 2Q earnings season kicks off.

 

For The Week

  • The S&P 500 added 1.49% to 2,161.74
  • Oil gained 1.19% to $45.95
  • Gold lost 2.74% to $1,328.96
  • The US Dollar rose 0.26% to $96.50 against other major world currencies.

 

 

2016 Year-To Date for the major indexes:

 

  • The S&P Index +5.76
  • The Dow Jones Index +6.26%
  • The NASDAQ Index +0.44%
  • The Russell 2000 Small Cap Index +6.11%
  • EAFE International Index -3.00%
  • 10 Year Treasury Yield is 1.59%, higher for the week and lower for the year
  • 30 Year Treasury Yield is 2.30%, higher for the week and lower for the year
  • WTI Crude Oil Index +24.06%
  • Bloomberg Gold Index +25.32%
  • The Dollar Index -2.13% against other major world currencies

 

SandPweek

Monday the S&P 500 index rose 7 points on moderate volume as no major data was released and 2Q earnings season kicked off.

Tuesday the index gained 15 points on moderate volume as small business optimism rose and beat expectations.

Wednesday the S&P index gained less than one point on moderate volume as mortgage applications fell but refinancing’s remained strong while import and export prices remained tame.

Thursday stocks rose 11 points on moderate volume as jobless claims remained low and beat expectations and producer prices rose higher than expected.

Friday the S&P 500 index slipped 2 points on moderate volume as consumer prices rose and matched, retail sales rose and beat expectations, NY manufacturing fell and missed, industrial production rose and beat expectations and consumer sentiment fell and missed.

 

Takeaways from this week:

  • US stocks posted its 3rd straight week of gains since the “Brexit”.
  • Treasury rates jumped higher on an improving global growth outlook.
  • Global stocks rose as well.

 

Mortgage rates were flat for the week.  The national averages as reported by Bankrate.com indicate a 15-year rate of 2.68% and a 30-year rate of 3.42%. These rates are as of 7/18/2016 and may include points.

 

What to watch for on the economic calendar this week:


Monday – Housing Market Index

Tuesday – Housing Starts

Wednesday –Mortgage Applications

Thursday –Weekly Jobless Claims / FHFA Home Prices / Existing Home Sales / Leading Indicators

Friday – PMI Manufacturing Flash

 

 

Ronald J. VanSurksum, CFP®
Advanced Asset Management, LLC

July 18, 2016