| Market/Index | 2017
Close | Prior Week | As of 12/7 | Weekly Change | YTD
Change |
|---|
| DJIA | 24719.22 | 25538.46 | 24388.95 | -4.50%
| -1.34%
|
|---|
| Nasdaq | 6903.39 | 7330.54 | 6969.25 | -4.93%
| 0.95%
|
|---|
| S&P
500 | 2673.61 | 2760.17 | 2633.08 | -4.60%
| -1.52%
|
|---|
| Russell
2000 | 1535.51 | 1533.27 | 1448.09 | -5.56%
| -5.69%
|
|---|
| Global
Dow | 3085.41 | 2936.77 | 2835.95 | -3.43%
| -8.09%
|
|---|
| Fed. Funds target
rate | 1.25%-1.50% | 2.00%-2.25% | 2.00%-2.25% | 0 bps | 75
bps |
|---|
| 10-year
Treasuries | 2.41% | 2.99% | 2.85% | -14 bps | 44
bps |
|---|
Chart reflects price changes, not total return. Because it
does not include dividends or splits, it should not be used to benchmark
performance of specific investments. Last Week's Economic Headlines
- Job growth slowed in November, according to the latest report from the Bureau of Labor Statistics. Employment increased by 155,000 new jobs last month, compared with an
average monthly gain of 209,000 over the prior 12 months. The unemployment rate remained unchanged at 3.7% for the third month in a row. In November, job gains occurred
in health care, in manufacturing, and in transportation and warehousing. Over the year, the
unemployment rate and the number of unemployed persons declined by 0.4 percentage point
and 641,000, respectively. Both the labor force participation rate, at 62.9%, and the employment-population
ratio, at 60.6%, were unchanged in November. The average workweek decreased by 0.1 hour to
34.4 hours in November. Average hourly earnings rose by $0.06
to $27.35. Over the year, average hourly earnings have increased by $0.81, or 3.1%.
- The international trade deficit expanded by $0.9 billion in October, growing to $55.5 billion. October exports were $211.0 billion, $0.3 billion less than September exports. October imports were
$266.5 billion, $0.6 billion more than September imports. Year-to-date, the goods and services deficit increased $51.3 billion, or 11.4%, from the same period
in 2017. Exports increased $149.3 billion, or 7.7%. Imports increased $200.6 billion, or 8.4%. The deficit with China grew by almost $3 billion in October over September, and sits at $420.8 billion year-to-date — 23% greater than this time last year.
- The IHS Markit final U.S. Manufacturing
Purchasing Managers' Index™ for November posted its lowest figure in three months, indicating growth in the manufacturing sector, but at a slower pace than October. More encouraging from this report was the notable growth in new orders, export orders, and employment.
- The November purchasing managers index (PMI®) from the Institute for Supply Management® not only showed growth in the manufacturing sector, but at a higher rate than October. Survey respondents also reported increases in new orders, production, employment, and inventories. Prices and deliveries fell in November from the prior month. While the surveys from Markit and ISM® may differ in some aspects, both reports clearly show that demand remains strong in manufacturing, which is a good sign for the economy.
- According to the Non-Manufacturing ISM® Report On Business®, the services sector expanded in November over October. Business activity, new orders, and prices also grew in October. Only employment decreased slightly from September's survey results.
- For the week ended December 1, the advance figure for
seasonally adjusted initial claims for unemployment insurance was 231,000, a decrease of 4,000 from the previous week's level, which was revised up by 1,000. According to the Department of Labor, the advance rate for insured
unemployment claims dipped to 1.1% for the week ended November 24. The advance number of those receiving
unemployment insurance benefits during the week ended November 24 was 1,631,000, a decrease of 74,000 from the prior week's level, which was revised down by 5,000.
Eye on the Week Ahead
Several reports that serve as indicators of inflationary trends are out this week, including the Consumer Price Index, the Producer Price Index, and the report on import and export prices. Inflation has been inching up slowly, and these indicators aren't expected to change that trend for this past November. Data sources: News items are based on reports from
multiple commonly available international news sources (i.e. wire services) and
are independently verified when necessary with secondary sources such as
government agencies, corporate press releases, or trade organizations. Market
data: Based on data reported in WSJ Market Data Center (indexes); U.S. Treasury
(Treasury yields); U.S. Energy Information Administration/Bloomberg.com Market
Data (oil spot price, WTI Cushing, OK); www.goldprice.org (spot gold/silver);
Oanda/FX Street (currency exchange rates). All information is based on sources
deemed reliable, but no warranty or guarantee is made as to its accuracy or
completeness. Neither the information nor any opinion expressed herein
constitutes a solicitation for the purchase or sale of any securities, and
should not be relied on as financial advice. Past performance is no guarantee
of future results. All investing involves risk, including the potential loss of
principal, and there can be no guarantee that any investing strategy will be
successful. The Dow Jones Industrial Average (DJIA) is a
price-weighted index composed of 30 widely traded blue-chip U.S. common stocks.
The S&P 500 is a market-cap weighted index composed of the common stocks of
500 leading companies in leading industries of the U.S. economy. The NASDAQ
Composite Index is a market-value weighted index of all common stocks listed on
the NASDAQ stock exchange. The Russell 2000 is a market-cap weighted index
composed of 2,000 U.S. small-cap common stocks. The Global Dow is an equally
weighted index of 150 widely traded blue-chip common stocks worldwide. Market
indices listed are unmanaged and are not available for direct investment. |