Major US equity indices were mostly lower for the week. The Russell 2000 underperformed the other major indices, while Nasdaq was supported by big tech. Equal-weighted S&P 500 was largely in line with official index. Big tech was mostly higher with GOOGL +8.6% the standout though NVDA -5.8% lagged the rest of the pack. Underperformers this week included industrial metals, medical devices, hospitals, biotech, machinery, banks, insurance, homebuilders, and hotels. Outperformers included beverages, networking/comms, China tech, trucking, off-priced retail, and apparel manufacturers. Treasuries were weaker with the yield curve steepening. The dollar was stronger on the major crosses, particularly against yen. Gold was up 0.6%. WTI crude finished with a 6.0% weekly gain as traders brushed off 2025 oil glut fears. Bitcoin was little-changed last week but rallied further over the weekend and is now sitting over 106k.
Investors processed several moving pieces from both a corporate and economic perspective. Stretched valuations was one of the major go-to excuses for more defensive tone this week with market now largely in waiting-mode ahead of Dec-18 FOMC announcement, though market pricing in nearly 100% chance of 25bp cut. There was some focus on underwhelming results/guidance from Oracle and Adobe, though this was partially counterbalanced by in-tact AI growth narrative along with positive sentiment surrounding Google quantum computing chip breakthrough. China and regulatory actions were also in the news. China’s Politburo pledged more stimulus, though Beijing also launched antitrust investigation into Nvidia
November CPI was the big economic event of the week. CPI was in line on both core and headline numbers though most notable highlight was some deceleration in shelter inflation. While shelter index did tick a bit higher and accounted for 40% of all-items increase, both rent and OER printed softer than some expected and slightly decelerated from October’s readings. There was also some upside pressure from food and used vehicles. The in line report further solidified December FOMC rate cut expectations with FedWatch Tool now showing ~98% chance of 25bp cut, up from 87% before report.
Elsewhere, November PPI printed a bit hotter than expected though core reading was in line. Report noted upside largely driven by margins for machinery and vehicle wholesaling and egg prices. Meanwhile, jobless claims increased week-over-week. NFIB small business optimism index jumped and had highest print since June of 2021, snapping a 34-month streak of record high uncertainty. Latest NY Fed survey showed rising inflation expectations on the 1Y, 3Y, and 5Y horizons, though this was coupled with improving economic outlook among consumers.
Overall, there were both bullish and bearish takeaways this week. On the bearish side, breadth deteriorated with Friday marking tenth straight session in which more S&P 500 constituents declined than advanced. There was a notable momentum drawdown early in the week, which was worsened by crowded mega cap positioning. Nvidia was weaker despite big tech outperformance with some of the blame going to China regulatory probe. A difficult regulatory backdrop also weighed on sentiment this week. On the bullish side, December rate cut odds now at nearly 100% after dovish shelter takeaways from CPI report. NFIB small business sentiment posted biggest monthly gain on record with US election results a big tailwind. Meanwhile, there were positive bank updates out of the Goldman Sachs conference surrounding NII trajectory, capital markets, credit and 2025 US economic outlook. Optimism around Google’s quantum computing and China stimulus also provided some support.
Data coming this week: Dec Empire State Index, Dec Flash PMI; Nov Retail Sales, Nov Industrial Production; FOMC Meeting, Nov Housing Starts; Final Q3 GDP, Nov Existing Home Sales; Nov PCE.
The Baker Hughes rig count was flat last week. There are 589 oil and gas rigs operating in the US – Down 34 from last year.
Metals Complex
Employment Picture
November Jobs Report – BLS Summary – Released 12/6/2024 – The US Economyadded 227k nonfarm jobs in November and the Unemployment rate edged up to 4.2%. Average hourly earnings increased 13 cents to $35.61. Hiring highlights include +54k Healthcare, +33k Government, +53k Leisure and Hospitality, and +32k in Transportation.Weekly Unemployment Claims– Released Thursday 12/12/2024 – In the week ending December 7, the advance figure for seasonally adjusted initial claims was 242,000, an increase of 17,000 from the previous week’s revised level. The 4-week moving average was 224,250 an increase of 5,750 from the previous week’s revised average.
November Jobs Report – BLS Summary – Released 12/6/2024 – The US Economyadded 227k nonfarm jobs in November and the Unemployment rate edged up to 4.2%. Average hourly earnings increased 13 cents to $35.61. Hiring highlights include +54k Healthcare, +33k Government, +53k Leisure and Hospitality, and +32k in Transportation.
Average hourly earnings increased 13 cents/0.4% to $35.61.
U3 unemployment rate increased 0.1% to 4.2%. U6 unemployment rate increased 0.1% to 7.8%.
The labor force participation rate was relatively unchanged at 62.5%.
Average work week increased 0.1 to 34.3 hours.
Job Openings & Labor Turnover Survey – JOLTS – Released 12/3/2024 – The number of job openings was little changed at 7.7 million on the last business day of October, the U.S. Bureau of Labor Statistics reported. Over the month the number of hires and total separations was little changed at 5.3 million and 5.3 million, respectively. Within separations, quits (3.3 million) and discharges (1.6 million) changed little.
Employment Cost Index – Released 10/31/2024 – Compensation costs for civilian workers increased 0.8% for the 3-month period ending in September 2024. Wages and salaries increased 0.8% and benefit costs increased 0.8% from June 2024. The 12-month period ending in September 2024 saw compensation costs increase by 3.9. The 12-month period ending September 2023 increased 4.3%. Wages and salaries increased 3.9 percent over the 12-month period ending in September 2024 and increased 4.6 percent for the 12-month period ending in September 2023. Benefit costs increased 3.7 percent over the 12-month period and increased 4.1 percent for the 12-month period ending in September 2023. This report is published quarterly.
This Week’s Economic Data – Blue links take you to data source
Producer Price Index– Released 12/12/2024 – The Producer Price Index for final demand increased 0.4 percent in November, seasonally adjusted. Final demand increased 0.3 percent in October and 0.2 percent in September. On an unadjusted basis, the index for final demand moved up 3.0 percent for the 12 months ended in November.
Consumer Price Index – Released 12/11/2024 – The Consumer Price Index for All Urban Consumers increased 0.3% in November on a seasonally adjusted basis, after increasing 0.2% in each of the last four months. Over the last 12 months, the all items index increased 2.7 percent before seasonal adjustment.
Recent Economic Data – Blue Links bring you to data source
Consumer Credit – Released 12/6/2024 – Consumer credit increased at a seasonally adjusted annual rate of 4.5 percent in October. Revolving credit increased at an annual rate of 13.9 percent, while nonrevolving credit increased at an annual rate of 1.1 percent.
U.S. Trade Balance– Released 12/5/2024 – The U.S. Census Bureau and the U.S. Bureau of Economic Analysis announced that the goods and services deficit was $73.8 billion in October, down $10.0 billion from $83.8 billion in September. October exports were $265.7 billion, $4.3 billion less than September exports. October imports were $339.6 billion, $14.3 billion less than September imports. The October decrease in the goods and services deficit reflected a decrease in the goods deficit of $10.4 billion to $98.7 billion and a decrease in the services surplus of $0.4 billion to $24.8 billion.
PMI Non-Manufacturing Index – Released 12/4/2024 – Economic activity in the services sector expanded in November for the fifth consecutive month indicating expansion in nine of the eleven months of 2024. The Services PMI® registered 52.1 percent 3.9 percent lower than October’s reading of 56.0 percent.
U.S. Construction Spending – Released 12/2/2024 – Construction spending during October 2024 was estimated at a seasonally adjusted annual rate of $2,174.0 billion, 0.4 percent above the revised September estimate of $2,164.7 billion. The October figure is 5.0 percent above the October 2023 estimate of $2,071.1 billion.
PMI Manufacturing Index – Released 12/2/2024 – The November Manufacturing PMI registered 48.4 percent, 1.9 percent higher compared to October. The overall economy continued in expansion for the 55th month after one month of contraction in April 2020. The New Orders Index returned to expansion territory, registering 50.4 percent, 3.3 percentage points higher than the 47.1 percent recorded in October. The November reading of the Production Index (46.8 percent) is 0.6 percentage points higher than October’s figure of 46.2 percent.
Chicago PMI – Released 11/29/2024 – Chicago PMI remained in contraction territory in November and fell to 40.2 from 41.6 points in October. The latest reading indicated that Chicago’s economic activity contracted for the 12th successive month in November.
US Light Vehicle Sales – Released 11/27/2024 – U.S. light vehicle sales were at a seasonally adjusted annual rate (SAAR) of 16.038 million units in October.
Personal Income – Released 11/27/2024 – Personal income increased $147.4 billion (0.6 percent at a monthly rate) in October. Disposable personal income (DPI)—personal income less personal current taxes—increased $144.1 billion (0.7 percent). Personal consumption expenditures (PCE) increased $72.3 billion (0.4 percent).
Second Estimate of 3rd Quarter 2024 GDP – Released 11/27/2024 – Real gross domestic product (GDP) increased at an annual rate of 2.8 percent in the third quarter of 2024, according to the “second” estimate released by the Bureau of Economic Analysis. In the second quarter, real GDP increased 3.0 percent. The GDP estimate released today is based on source data that are more complete than the “advance” estimate which also had GDP increase by 2.8 percent. The update primarily reflected upward revisions to private inventory investment and nonresidential fixed investment as well as downward revisions to exports and consumer spending. Imports, which are a subtraction in the calculation of GDP, were revised down. The increase in real GDP primarily reflected increases in consumer spending, exports, and federal government spending. Imports, which are a subtraction in the calculation of GDP, increased.Compared to the second quarter, the deceleration in real GDP in the third quarter primarily reflected a downturn in private inventory investment and a larger decrease in residential fixed investment. These movements were partly offset by accelerations in exports, consumer spending, and federal government spending. Imports accelerated.
Durable Goods – Released 11/27/2024 – New orders for manufactured durable goods in October, up following two months of decline, increased $0.7 billion or 0.2% to $286.6 billion, the U.S. Census Bureau announced today. This followed a 0.4% September decrease. Excluding transportation, new orders increased 0.1%. Excluding defense, new orders increased 0.4%. Transportation equipment, also up following two consecutive monthly decreases, led the increase, $0.4 billion or 0.5% to $97.1 billion.
Consumer Confidence – Released 11/26/2024 – Consumer Confidence increased from 109.6 to 111.7 in November. The Expectations Index which is based on consumers’ short-term outlook for income, business, and labor market condition, ticked up 0.4 points to 92.3, well above the threshold of 80 that usually signals a recession ahead. Consumer confidence continued to improve in November and reached the top of the range that has prevailed over the past two years. November’s increase was mainly driven by more positive consumer assessments of the present situation, particularly regarding the labor market. Compared to October, consumers were also substantially more optimistic about future job availability, which reached its highest level in almost three years. Meanwhile, consumers’ expectations about future business conditions were unchanged and they were slightly less positive about future income.
New Residential Sales – Released 11/26/2024 – Sales of new single‐family houses in October 2024 were at a seasonally adjusted annual rate of 610,000, according to estimates released jointly today by the U.S. Census Bureau and the Department of Housing and Urban Development. This is 17.3 percent below the revised September rate of 738,000 and is 9.4 percent below the October 2023 estimate of 673,000. The median sales price of new houses sold in October 2024 was $437,300. The average sales price was $545,800.
Existing Home Sales – Released 11/21/2024 – Existing home sales in October increased 3.4% from September and increased 2.9% year over year. Existing home sales increased to 3.96 million in October seasonally adjusted. The median price of existing homes for sale increased to $407,200, up 4.0% from one year ago.
Housing Starts – Released 11/19/2024 – October housing starts came in at 1,311,000, 3.1% below the September estimate and is 4.0% below the October 2023 rate. Building permits were 0.6% below the September rate at $1,416,000 and is 7.7% below the October 2023 rate.
Industrial Production and Capacity Utilization – Released 11/15/2024 – Industrial production decreased 0.3% in October after falling 0.5% in September. Manufacturing decreased 0.5%. Utilities output increased 0.7%. Mining increased 0.3%. Total industrial production in September was 0.6% below its year-earlier level. Capacity utilization decreased to 77.1% in October, a rate that is 2.6% below its long-run average.
Retail Sales – Released 11/15/2024 – Headline retail sales were up 0.4% in October and are up 2.8% above October 2023.
This week we get data on Retail Sales, Industrial Production and Capacity Utilization, Housing Starts, Existing Home Sales, the 3rd Estimate of 3rd Quarter GDP, and Personal Income.
This report has been prepared without regard to the specific investment objectives, financial situation and needs of any particular recipient. The information and opinions in this report are for general information use only and are not intended as an offer or solicitation with respect to the purchase or sale of any stock, bond, currency or CFD contract.
Some information contained herein has been obtained from third party sources believed to be reliable, but has not been independently verified by us; its accuracy or completeness is not guaranteed. Our commentary is based on information considered to be reliable, but no representation is made that it is accurate or complete, and should not be relied upon as such.
The views expressed represent the opinions and beliefs at the time of this commentary and are not meant as a market forecast. These views are subject to change at any time based on market or other conditions and Good Life Advisors disclaims any responsibility to update such views. This information may not be relied on as advice or as an indication of trading intent on behalf of any portfolio. Portfolio investments may change at any time.
Economic and performance information referenced is historical and past performance does not guarantee future results. References to future returns are not promises or estimates of actual returns we may achieve, and should not be relied upon.
No investment strategy or risk management process can guarantee returns or eliminate risk in any market environment. Investing in securities involves risk of loss. Stock and Bond prices can decline significantly in response to adverse market conditions, company-specific events, and other domestic and international political and economic developments. Any references to historical price movements or levels is informational based on our analysis and we do not represent or warranty that any such movements or levels are likely to reoccur in the future.
While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness, nor does author assume any liability for any direct, indirect or consequential loss that may result from the reliance by any person upon any such information or opinions.
Weekly Market Update | Week 50, 2024
Major US equity indices were mostly lower for the week. The Russell 2000 underperformed the other major indices, while Nasdaq was supported by big tech. Equal-weighted S&P 500 was largely in line with official index. Big tech was mostly higher with GOOGL +8.6% the standout though NVDA -5.8% lagged the rest of the pack. Underperformers this week included industrial metals, medical devices, hospitals, biotech, machinery, banks, insurance, homebuilders, and hotels. Outperformers included beverages, networking/comms, China tech, trucking, off-priced retail, and apparel manufacturers. Treasuries were weaker with the yield curve steepening. The dollar was stronger on the major crosses, particularly against yen. Gold was up 0.6%. WTI crude finished with a 6.0% weekly gain as traders brushed off 2025 oil glut fears. Bitcoin was little-changed last week but rallied further over the weekend and is now sitting over 106k.
Investors processed several moving pieces from both a corporate and economic perspective. Stretched valuations was one of the major go-to excuses for more defensive tone this week with market now largely in waiting-mode ahead of Dec-18 FOMC announcement, though market pricing in nearly 100% chance of 25bp cut. There was some focus on underwhelming results/guidance from Oracle and Adobe, though this was partially counterbalanced by in-tact AI growth narrative along with positive sentiment surrounding Google quantum computing chip breakthrough. China and regulatory actions were also in the news. China’s Politburo pledged more stimulus, though Beijing also launched antitrust investigation into Nvidia
November CPI was the big economic event of the week. CPI was in line on both core and headline numbers though most notable highlight was some deceleration in shelter inflation. While shelter index did tick a bit higher and accounted for 40% of all-items increase, both rent and OER printed softer than some expected and slightly decelerated from October’s readings. There was also some upside pressure from food and used vehicles. The in line report further solidified December FOMC rate cut expectations with FedWatch Tool now showing ~98% chance of 25bp cut, up from 87% before report.
Elsewhere, November PPI printed a bit hotter than expected though core reading was in line. Report noted upside largely driven by margins for machinery and vehicle wholesaling and egg prices. Meanwhile, jobless claims increased week-over-week. NFIB small business optimism index jumped and had highest print since June of 2021, snapping a 34-month streak of record high uncertainty. Latest NY Fed survey showed rising inflation expectations on the 1Y, 3Y, and 5Y horizons, though this was coupled with improving economic outlook among consumers.
Overall, there were both bullish and bearish takeaways this week. On the bearish side, breadth deteriorated with Friday marking tenth straight session in which more S&P 500 constituents declined than advanced. There was a notable momentum drawdown early in the week, which was worsened by crowded mega cap positioning. Nvidia was weaker despite big tech outperformance with some of the blame going to China regulatory probe. A difficult regulatory backdrop also weighed on sentiment this week. On the bullish side, December rate cut odds now at nearly 100% after dovish shelter takeaways from CPI report. NFIB small business sentiment posted biggest monthly gain on record with US election results a big tailwind. Meanwhile, there were positive bank updates out of the Goldman Sachs conference surrounding NII trajectory, capital markets, credit and 2025 US economic outlook. Optimism around Google’s quantum computing and China stimulus also provided some support.
Data coming this week: Dec Empire State Index, Dec Flash PMI; Nov Retail Sales, Nov Industrial Production; FOMC Meeting, Nov Housing Starts; Final Q3 GDP, Nov Existing Home Sales; Nov PCE.
Fixed Income
Yield Curve
November FOMC Statement November Minutes Credit, Liquidity and Balance Sheet Federal Reserve Dot Plots
Treasury.gov yields FOMC Policy Normalization Statement Longer- Run Goals Jan 2024
Foreign Exchange Market
Energy Complex
The Baker Hughes rig count was flat last week. There are 589 oil and gas rigs operating in the US – Down 34 from last year.
Metals Complex
Employment Picture
November Jobs Report – BLS Summary – Released 12/6/2024 – The US Economy added 227k nonfarm jobs in November and the Unemployment rate edged up to 4.2%. Average hourly earnings increased 13 cents to $35.61. Hiring highlights include +54k Healthcare, +33k Government, +53k Leisure and Hospitality, and +32k in Transportation.Weekly Unemployment Claims – Released Thursday 12/12/2024 – In the week ending December 7, the advance figure for seasonally adjusted initial claims was 242,000, an increase of 17,000 from the previous week’s revised level. The 4-week moving average was 224,250 an increase of 5,750 from the previous week’s revised average.
November Jobs Report – BLS Summary – Released 12/6/2024 – The US Economy added 227k nonfarm jobs in November and the Unemployment rate edged up to 4.2%. Average hourly earnings increased 13 cents to $35.61. Hiring highlights include +54k Healthcare, +33k Government, +53k Leisure and Hospitality, and +32k in Transportation.
Job Openings & Labor Turnover Survey – JOLTS – Released 12/3/2024 – The number of job openings was little changed at 7.7 million on the last business day of October, the U.S. Bureau of Labor Statistics reported. Over the month the number of hires and total separations was little changed at 5.3 million and 5.3 million, respectively. Within separations, quits (3.3 million) and discharges (1.6 million) changed little.
Employment Cost Index – Released 10/31/2024 – Compensation costs for civilian workers increased 0.8% for the 3-month period ending in September 2024. Wages and salaries increased 0.8% and benefit costs increased 0.8% from June 2024. The 12-month period ending in September 2024 saw compensation costs increase by 3.9. The 12-month period ending September 2023 increased 4.3%. Wages and salaries increased 3.9 percent over the 12-month period ending in September 2024 and increased 4.6 percent for the 12-month period ending in September 2023. Benefit costs increased 3.7 percent over the 12-month period and increased 4.1 percent for the 12-month period ending in September 2023. This report is published quarterly.
This Week’s Economic Data – Blue links take you to data source
Producer Price Index – Released 12/12/2024 – The Producer Price Index for final demand increased 0.4 percent in November, seasonally adjusted. Final demand increased 0.3 percent in October and 0.2 percent in September. On an unadjusted basis, the index for final demand moved up 3.0 percent for the 12 months ended in November.
Consumer Price Index – Released 12/11/2024 – The Consumer Price Index for All Urban Consumers increased 0.3% in November on a seasonally adjusted basis, after increasing 0.2% in each of the last four months. Over the last 12 months, the all items index increased 2.7 percent before seasonal adjustment.
Recent Economic Data – Blue Links bring you to data source
Consumer Credit – Released 12/6/2024 – Consumer credit increased at a seasonally adjusted annual rate of 4.5 percent in October. Revolving credit increased at an annual rate of 13.9 percent, while nonrevolving credit increased at an annual rate of 1.1 percent.
U.S. Trade Balance – Released 12/5/2024 – The U.S. Census Bureau and the U.S. Bureau of Economic Analysis announced that the goods and services deficit was $73.8 billion in October, down $10.0 billion from $83.8 billion in September. October exports were $265.7 billion, $4.3 billion less than September exports. October imports were $339.6 billion, $14.3 billion less than September imports. The October decrease in the goods and services deficit reflected a decrease in the goods deficit of $10.4 billion to $98.7 billion and a decrease in the services surplus of $0.4 billion to $24.8 billion.
PMI Non-Manufacturing Index – Released 12/4/2024 – Economic activity in the services sector expanded in November for the fifth consecutive month indicating expansion in nine of the eleven months of 2024. The Services PMI® registered 52.1 percent 3.9 percent lower than October’s reading of 56.0 percent.
U.S. Construction Spending – Released 12/2/2024 – Construction spending during October 2024 was estimated at a seasonally adjusted annual rate of $2,174.0 billion, 0.4 percent above the revised September estimate of $2,164.7 billion. The October figure is 5.0 percent above the October 2023 estimate of $2,071.1 billion.
PMI Manufacturing Index – Released 12/2/2024 – The November Manufacturing PMI registered 48.4 percent, 1.9 percent higher compared to October. The overall economy continued in expansion for the 55th month after one month of contraction in April 2020. The New Orders Index returned to expansion territory, registering 50.4 percent, 3.3 percentage points higher than the 47.1 percent recorded in October. The November reading of the Production Index (46.8 percent) is 0.6 percentage points higher than October’s figure of 46.2 percent.
Chicago PMI – Released 11/29/2024 – Chicago PMI remained in contraction territory in November and fell to 40.2 from 41.6 points in October. The latest reading indicated that Chicago’s economic activity contracted for the 12th successive month in November.
US Light Vehicle Sales – Released 11/27/2024 – U.S. light vehicle sales were at a seasonally adjusted annual rate (SAAR) of 16.038 million units in October.
Personal Income – Released 11/27/2024 – Personal income increased $147.4 billion (0.6 percent at a monthly rate) in October. Disposable personal income (DPI)—personal income less personal current taxes—increased $144.1 billion (0.7 percent). Personal consumption expenditures (PCE) increased $72.3 billion (0.4 percent).
Second Estimate of 3rd Quarter 2024 GDP – Released 11/27/2024 – Real gross domestic product (GDP) increased at an annual rate of 2.8 percent in the third quarter of 2024, according to the “second” estimate released by the Bureau of Economic Analysis. In the second quarter, real GDP increased 3.0 percent. The GDP estimate released today is based on source data that are more complete than the “advance” estimate which also had GDP increase by 2.8 percent. The update primarily reflected upward revisions to private inventory investment and nonresidential fixed investment as well as downward revisions to exports and consumer spending. Imports, which are a subtraction in the calculation of GDP, were revised down. The increase in real GDP primarily reflected increases in consumer spending, exports, and federal government spending. Imports, which are a subtraction in the calculation of GDP, increased.Compared to the second quarter, the deceleration in real GDP in the third quarter primarily reflected a downturn in private inventory investment and a larger decrease in residential fixed investment. These movements were partly offset by accelerations in exports, consumer spending, and federal government spending. Imports accelerated.
Durable Goods – Released 11/27/2024 – New orders for manufactured durable goods in October, up following two months of decline, increased $0.7 billion or 0.2% to $286.6 billion, the U.S. Census Bureau announced today. This followed a 0.4% September decrease. Excluding transportation, new orders increased 0.1%. Excluding defense, new orders increased 0.4%. Transportation equipment, also up following two consecutive monthly decreases, led the increase, $0.4 billion or 0.5% to $97.1 billion.
Consumer Confidence – Released 11/26/2024 – Consumer Confidence increased from 109.6 to 111.7 in November. The Expectations Index which is based on consumers’ short-term outlook for income, business, and labor market condition, ticked up 0.4 points to 92.3, well above the threshold of 80 that usually signals a recession ahead. Consumer confidence continued to improve in November and reached the top of the range that has prevailed over the past two years. November’s increase was mainly driven by more positive consumer assessments of the present situation, particularly regarding the labor market. Compared to October, consumers were also substantially more optimistic about future job availability, which reached its highest level in almost three years. Meanwhile, consumers’ expectations about future business conditions were unchanged and they were slightly less positive about future income.
New Residential Sales – Released 11/26/2024 – Sales of new single‐family houses in October 2024 were at a seasonally adjusted annual rate of 610,000, according to estimates released jointly today by the U.S. Census Bureau and the Department of Housing and Urban Development. This is 17.3 percent below the revised September rate of 738,000 and is 9.4 percent below the October 2023 estimate of 673,000. The median sales price of new houses sold in October 2024 was $437,300. The average sales price was $545,800.
Existing Home Sales – Released 11/21/2024 – Existing home sales in October increased 3.4% from September and increased 2.9% year over year. Existing home sales increased to 3.96 million in October seasonally adjusted. The median price of existing homes for sale increased to $407,200, up 4.0% from one year ago.
Housing Starts – Released 11/19/2024 – October housing starts came in at 1,311,000, 3.1% below the September estimate and is 4.0% below the October 2023 rate. Building permits were 0.6% below the September rate at $1,416,000 and is 7.7% below the October 2023 rate.
Industrial Production and Capacity Utilization – Released 11/15/2024 – Industrial production decreased 0.3% in October after falling 0.5% in September. Manufacturing decreased 0.5%. Utilities output increased 0.7%. Mining increased 0.3%. Total industrial production in September was 0.6% below its year-earlier level. Capacity utilization decreased to 77.1% in October, a rate that is 2.6% below its long-run average.
Retail Sales – Released 11/15/2024 – Headline retail sales were up 0.4% in October and are up 2.8% above October 2023.
This week we get data on Retail Sales, Industrial Production and Capacity Utilization, Housing Starts, Existing Home Sales, the 3rd Estimate of 3rd Quarter GDP, and Personal Income.
This report has been prepared without regard to the specific investment objectives, financial situation and needs of any particular recipient. The information and opinions in this report are for general information use only and are not intended as an offer or solicitation with respect to the purchase or sale of any stock, bond, currency or CFD contract.
Some information contained herein has been obtained from third party sources believed to be reliable, but has not been independently verified by us; its accuracy or completeness is not guaranteed. Our commentary is based on information considered to be reliable, but no representation is made that it is accurate or complete, and should not be relied upon as such.
The views expressed represent the opinions and beliefs at the time of this commentary and are not meant as a market forecast. These views are subject to change at any time based on market or other conditions and Good Life Advisors disclaims any responsibility to update such views. This information may not be relied on as advice or as an indication of trading intent on behalf of any portfolio. Portfolio investments may change at any time.
Economic and performance information referenced is historical and past performance does not guarantee future results. References to future returns are not promises or estimates of actual returns we may achieve, and should not be relied upon.
No investment strategy or risk management process can guarantee returns or eliminate risk in any market environment. Investing in securities involves risk of loss. Stock and Bond prices can decline significantly in response to adverse market conditions, company-specific events, and other domestic and international political and economic developments. Any references to historical price movements or levels is informational based on our analysis and we do not represent or warranty that any such movements or levels are likely to reoccur in the future.
While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness, nor does author assume any liability for any direct, indirect or consequential loss that may result from the reliance by any person upon any such information or opinions.
Data Sources:
Conference Board Economic Indicators Bureau of Economic Analysis (BEA) Congressional Budget Office (CBO) U.S. Bureau of Labor Statistics (BLS) Federal Reserve Economic Data (FRED Charts)
CME Fed Watch U.S. Treasury – Yields U.S. Census Bureau Institute for Supply Management (ISM) Weekly DOL Employment Data BLS Monthly Jobs Report JOLTS All capital in one visualization 2020
US Energy Admn (EIA) BLS Consumer Price Index CPI BLS Producer Price Index PPIAtlanta Fed GDPNOW NY Fed Nowcast GDP US Census Bureau Housing Starts U.S. Energy Admn
Consumer Credit USCB Retail Sales Construction Spending Federal Reserve Dot Plots 2017 NY Empire Index Philadelphia Federal Reserve P/E Ratio Data -Yardeni Research
Technical Analysis Info: Koyfin.com StockCharts.com – Financial Charts Exponential vs Simple Moving Average
Other links: 1973 Arab Oil Embargo Hunt Brothers Silver Asian Contagion Long-Term Capital bailout
Categories:
Tags: