Home   Logon   Mobile Site   Research and Commentary   About Us   Call 1.800.621.1675 or Email Us       Follow Us: 

Search by Ticker, Keyword or CUSIP       
Blog Home
Bob Carey
Chief Market Strategist
Click for Bio

Follow Bob on Twitter Follow Bob on LinkedIn View Videos on YouTube

  Stocks Ended Sept. 9, 2016
Posted Under: Weekly Market Commentary
Supporting Image for Blog Post

Stocks hovered near record-highs during the holiday-shortened week before tumbling on Friday amid concerns about less accommodative central bank policy. Boston Fed President Eric Rosengarten commented on Friday that waiting too long to increase rates threatens to overheat the U.S. economy and poses risks to financial stability. In addition to hawkish comments from a Fed President, European Central Bank President Mario Draghi decided to leave the ECB's current stimulus plan unchanged, disappointing many investors. Defensive stocks, the darlings of the first half of 2016, saw share prices fall further than the S&P 500 on higher rate concerns as many defensive names boast high dividend yields. In addition, defensive stock valuations appear stretched compared to the broader market and flows are starting to reverse away from some of the most popular funds. In stock news, HD Supply Holdings Inc. fell following disappointing earnings and a guidance cut due to execution issues, further supply chain investment and end market weakness. Western Digital Corp. raised guidance for the first quarter on improving product mix from the acquisition of SanDisk Corp. Shares of Tractor Supply Company tumbled after lowering full-year guidance, citing headwinds for the energy and agriculture end markets. Looking ahead to next week, retail sales and industrial production will be key economic data points. Looking longer term, Friday's sell-off could be the start of increased volatility as the market has lacked large swings in the recent past. Quality companies trading at reasonable valuations could be attractive if volatility persists.
Posted on Monday, September 12, 2016 @ 8:04 AM • Post Link Share: 
Print this post Printer Friendly

These posts were prepared by First Trust Advisors L.P., and reflect the current opinion of the authors. They are based upon sources and data believed to be accurate and reliable. Opinions and forward looking statements expressed are subject to change without notice. This information does not constitute a solicitation or an offer to buy or sell any security.
Search Posts
Market Commentary and Analysis
Market Commentary Video
Weekly Market Commentary
Weekly Market Watch
Monthly Talking Points
Quarterly Newsletter
Market Observations
Subscribe To Receive Email

US Economy and Credit Markets Ended Sept. 9, 2016
An Update On The Recovery In Financials
The Bull Market In The S&P 500 Index May Be Picking Up Steam After A Sluggish
Stocks Ended Sept. 2, 2016
US Economy and Credit Markets Ended Sept. 2, 2016
Snapshot of U.S. Equity Styles/Market Caps
The U.S. Dollar Index Has Been Range Bound Since March 2015
Stocks Ended Aug. 26, 2016
US Economy and Credit Markets Ended Aug. 26, 2016
A Snapshot of Bond Valuations
Skip Navigation Links.
Search by Topic
Skip Navigation Links.

The information presented is not intended to constitute an investment recommendation for, or advice to, any specific person. By providing this information, First Trust is not undertaking to give advice in any fiduciary capacity within the meaning of ERISA, the Internal Revenue Code or any other regulatory framework. Financial professionals are responsible for evaluating investment risks independently and for exercising independent judgment in determining whether investments are appropriate for their clients.
First Trust Portfolios L.P.  Member SIPC and FINRA. (Form CRS)   •  First Trust Advisors L.P. (Form CRS)
Home |  Important Legal Information |  Privacy Policy |  California Privacy Policy |  Business Continuity Plan |  FINRA BrokerCheck
Copyright © 2023 All rights reserved.