Week 19 Talking Points #15

Volatility spiked as U.S. – China trade talks ended without a deal in sight. The S&P closed down 2.1% this week but had been down as much as 3.75% Friday morning. After positive sounding remarks from Treasury Secretary Mnuchin equity markets staged a mid-day comeback to close positive on Friday but…

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Week 18 Talking Points #14

The S&P and Nasdaq both closed this week at new all-time highs while the Dow is still 320 points off its October high. Equity markets sold off mid-week after Fed chair Powell signaled that they would not be lowering rates. He attributed the recent weakening of the PCE index (the Feds preferred…

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Week 17 Talking Points #13

Disappointing earnings from 3M, Intel and Exxon Mobil left the Dow in negative territory but upbeat guidance from Microsoft, Facebook and Amazon drove the Nasdaq and the S&P 500 to new all-time closing highs on Friday. U.S. economic data this week showed healthy pickups in new home sales and durable…

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Week 16 Talking Points #12

    Fixed Income FOMC March Statement     Federal Reserve Dot Plots Dec 18     US Debt Measurement   March Meeting Minutes    US Corporate Debt Tops $6 Trillion  Treasury.gov yields   Global Bond Yields   Foreign Exchange Market   Energy Complex The Baker Hughes rig count lost 10 this week. There are 1012 oil and gas rigs operating in…

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Week 13 Talking Points #11

Ahead this week, US China trade talks continue as Beijing’s top trade negotiator travels to Washington for more discussions. Expect more volatility in the British Pound £ as the UK Parliament fights off a no-deal Brexit. On the data front, this coming week is full of releases, housing starts, trade…

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Week 10 Talking Points #10

Global Growth Worries Abound Worries about faltering global growth intensified this week sending the S&P500 lower all five trading days. This marked the worst week of the year as all the major US markets were down over two percent. Among the global worries; China lowered its 2019 GDP growth forecast…

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Week 9 Talking Points #9

In trade war news, President Trump officially postponed the March 1st deadline with China to reach a trade deal as reports of progress toward a trade deal have emerged. NEC Director Larry Kudlow made comments that the U.S. and China are making “Fantastic” progress in meetings and that China has expressed…

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Week 7 Talking Points #7

Inching Closer to a Trade Deal Equities climbed higher four out of five days this week. Helping the cause were positive reports on the US/China trade negotiations and Congress averting another Gov’t shutdown. The S&P 500 added 2.5% the Dow gained 3.1%  but it was the small caps that rallied…

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Week 6 Talking Points #6

Yields Continue to Invert Back to reality this week as the fundamental issues of a slowdown in global growth and a U.S.- China trade deal caused some broad-based buying of Treasuries. The 1 Year US Treasury is now yielding more than the 2,3, 5 or 7-year maturities. Treasuries are pricing in slower…

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