Month: July 2013

July
31

Provided by: Jon McGraw

Fed Notes 7-31-13

The FOMC completed their July meeting today with little fanfare. Their official statement alluded to ‘modest’ economic growth as of late (downgraded from ‘moderate’), reflecting recent weaker figures, as well as an acknowledgement of improved but continued struggles with high unemployment, as well as federal budget tightening and weak overseas growth. For now, the QE…

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July
29

Provided by: Jon McGraw

If it’s not stocks, it’s bonds!

The Markets In a turnaround worthy of Bruce Willis in a ‘Die Hard’ movie, expectations for second quarter’s corporate earnings growth soared from below expectations, on average, in the previous week to beating expectations last week. Earnings growth estimates shot up to 4.1 percent which was a significant change from last week’s 2.8 percent. Of…

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July
29

Provided by: Jon McGraw

Economic Notes 7-29-13

All eyes are on the last week of July for Fed comments and economic numbers.  However, last week had its fair share of releases as well: (+/0) Durable goods orders for June came in a bit better than expected, at a gain of +4.2% versus a consensus increase of +1.4%. The surprise was led by…

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July
22

Provided by: Jon McGraw

Earnings and Innovation!

The Markets Singing the earnings song… Each year, in January, April, July, and October, most publicly-traded companies announce their corporate earnings results. These announcements can have a dramatic effect on companies’ share prices – and markets – especially when companies don’t meet analysts’ expectations. The way a company’s share price moves after an earnings announcement…

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July
22

Provided by: Jon McGraw

Economic Notes – July 22, 2013

It was a week with a few interesting economic reports being released. The bottom line with the bulk of recent releases is that estimated GDP for the second quarter has fallen from close to 2% to perhaps a shade below 1%, with lower net exports (weaker international demand and a strong dollar) and several other…

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July
15

Provided by: Jon McGraw

Higher Markets – Slower Growth?

The Markets One of these things is not like the other… If you find yourself humming that old Sesame Street standard when you think about financial markets and world economies, you’re probably not alone. To the consternation of many, the Dow Jones Industrials Average and the Standard & Poor’s 500 Index rocketed to new highs…

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July
15

Provided by: Jon McGraw

Economic Notes – July 15, 2013

(-) Wholesale inventories came in weaker than expected for May, falling -0.5% versus an anticipated gain of +0.3%. Auto inventories were flat (in contrast to making positive contributions in recent months), while machinery and nondurable goods fell nearly a percent each. The inventory-to-sales ratio declined to its lowest level in the last year, which is…

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July
08

Provided by: Jon McGraw

Rates Rise – Bring home the Bacon!

The Markets The second quarter offered a level of drama often found in homes with teenagers! When investors realized their good friend, quantitative easing, might have an earlier-than-expected curfew, they threw a hissy fit that resounded through global markets. The outburst interrupted the trajectory of Standard & Poor’s 500 Index, which finished June lower after…

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July
08

Provided by: Jon McGraw

Economic Notes – July 8, 2013

Despite it being a fairly quiet Independence Day week, a few significant releases made the news and affected markets later in the week. (+) The ISM manufacturing index came in a bit better than expected, rising from 49.0 in May to 50.9 for June (vs. a forecasted 50.5 number). Forward-looking new orders and production both…

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July
01

Provided by: Jon McGraw

Markets Rebound – Words & Actions

The Markets Soothing words from Federal Reserve Bank officials helped settle investors’ fears last week, and U.S. stock markets moved higher. The Dow Jones Industrials Average was up 0.7 percent, the Standard & Poor’s 500 gained 0.9 percent, and the NASDAQ rose by 1.4 percent. Markets were more stable during the week, and the CBOE…

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