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
 

  US Economy and Credit Markets Ended Jan. 6, 2017
Posted Under: Weekly Market Commentary

 
The yield curve flattened last week as markets continued to digest a rate increase and the Federal Reserve's intention to increase rates slowly through 2017.  Economic data remains strong and equity markets seem to be anticipating increased acceleration of the U.S. economy. Tuesday's ISM December Manufacturing Index reading exceeded expectations and came in at 54.7 for the month (Levels higher than 50 signal expansion; levels below 50 signal contraction.). This represented the highest reading in two years and fourth consecutive month of increase. Thursday's Non-Manufacturing Index reading for the month of December was unchanged at 57.2, however, but as this is still well above 50, it is indicative of improving sentiment. Taken together, both the ISM manufacturing and non-manufacturing readings signal expansion as we enter 2017.  The December payroll numbers for December were released on Friday and underwhelmed relative to expectations and the unemployment rate picked up to 4.7% from 4.6% in the prior month. On Friday the trade deficit was smaller than expected but this followed November's deficit which was a nine-month high as the stronger dollar is making foreign goods cheaper for U.S. consumers and U.S. made goods more expensive for foreign buyers. Major economic reports (and related consensus forecasts) for the upcoming week include: Tuesday: November Final Wholesale Inventories (.9%, unch); Wednesday: Prior week MBA Mortgage Applications; Thursday: Prior week Initial Jobless Claims (255K, +20K); Friday: December Final PPI Demand (.3%, -.1%), December Retail Sales (.6%, +.5%) and January preliminary University of Michigan Sentiment (98.5, +.3).
Posted on Monday, January 9, 2017 @ 8:13 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 ANALYSIS
Market Commentary and Analysis
Market Commentary Video
Weekly Market Commentary
Weekly Market Watch
Monthly Talking Points
Quarterly Newsletter
Market Observations
Subscribe To Receive Email
 


 PREVIOUS POSTS
The So-Called “Trump Rally”
S&P 500 Index Top-Line Growth Estimates
US Stocks Ended Dec. 30, 2016
US Economy and Credit Markets Ended Dec. 30, 2016
US Stocks Ended Dec. 23, 2016
US Economy and Credit Markets Ended Dec. 23, 2016
Investors Continue To Favor Passive Funds Over Actively Managed Funds
2016 A Year of Extremes. 2017 A Year of Opportunity
US Stocks Ended Dec. 16, 2016
US Economy and Credit Markets Ended Dec. 16, 2016
Archive
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 © 2022 All rights reserved.