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 November 9, 2018
Posted Under: Weekly Market Commentary

The Federal Open Market Committee left rates unchanged last week, as expected, saying in its statement "that the labor market has continued to strengthen and that economic activity has been rising at a strong rate." Household spending increases have also been strong recently, according to the Fed, while business fixed investment has slowed from its robust pace in the first half of 2018. The yield on the U.S. 10-year Treasury hit a 7-year high on Thursday following the statement, while the Fed is still widely expected to raise rates for the fourth time this year at its December meeting. U.S. government bond prices were little changed after a volatile session on Wednesday following the midterm elections that went as expected. Meanwhile, demand for the Treasury's auction of 30-year bonds on Wednesday was the weakest for a 30-year bond auction since February 2009, measured by the number of bids relative to the amount debt sold, or the bid-to-cover ratio. The weak demand was partially attributed to the increasing supply of debt brought on by the expanding budget deficit and the Fed's reduction of its balance sheet, as it allows $30 billion in Treasurys to mature each month without being reinvested. The Producer Price Index rose 0.6% in October over the prior month, easily topping the 0.2% expected increase. The month-over-month increase was the largest since September 2012. Major economic reports (related consensus forecasts, prior data) for the upcoming week include: Wednesday: October CPI MoM (0.3%, 0.1%), November 9 MBA Mortgage Applications (N/A, -4.0%); Thursday: November 10 Initial Jobless Claims (214k, 214k), October Retail Sales Advance MoM (0.5%, 0.1%), November Empire Manufacturing (20.0, 21.1); Friday: October Industrial Production MoM (0.2%, 0.3%).
Posted on Monday, November 12, 2018 @ 8:08 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

A Global Snapshot of Government Bond Yields
A Snapshot Of U.S. Equity Valuation Levels
US Stock Markets Ended November 2, 2018
US Economy and Credit Markets Ended November 2, 2018
How The S&P 500 Index & Sector Indices Have Fared YTD And Since 9/20/18
Stock market on sale … will anyone show up?
A Snapshot Of The Rally In The U.S. Dollar
US Stock Markets Ended October 26, 2018
US Economy and Credit Markets Ended October 26, 2018
Homebuilder-Related Stocks Hit Hard By A Confluence Of Events
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 © 2020 All rights reserved.