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 May 4, 2018
Posted Under: Weekly Market Commentary

 
U.S. Treasuries exhibited weakness last week, especially short dated maturities, amid strong economic data, rising energy prices, larger debt auctions and a Federal Reserve meeting which saw rates left alone. While Wednesday's Federal Reserve meeting saw rates left unchanged, the future implied probabilities are pricing in a nearly 75% chance for an increase in June. Including the June raise, implied probabilities suggest a total of two more raises in 2018 but are still allowing a 37% chance for three raises. Oil closed near $70/barrel as Venezuela production is in freefall. Because of this, OPEC is exceeding its promised production cuts amid strong global demand outstripping continued strong production from the American Permian basin. On Monday, personal income was seen increasing .3% in March, led by rising wages and an increase in social security benefits, and is up 3.7% from a year before. On Thursday, the trade deficit came in at $49 billion for March and was $4.2 billion larger than the prior year. Friday morning pre-market news showed nonfarm payrolls increasing 164K in April. While this fell short of expectations, the U.S. labor market continues to improve. Major economic reports (related consensus forecasts, prior data) for the upcoming week include: Wednesday: May 4 MBA Mortgage Applications (N/A, -2.5%), April CPI final Demand (0.2%, 0.3%) and March final Wholesale Inventories (0.6%, 0.5%) Thursday: May 5 Initial Jobless Claims (219K, 211K); Friday: May preliminary University of Michigan Sentiment (98.4, 98.8
Posted on Monday, May 7, 2018 @ 8:29 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
Some Insight Into The S&P 500 Index Dividend Payout
The Price Of Crude Oil Has Risen To An Interesting Level
US Stock Markets Ended April 27, 2018
US Economy and Credit Markets Ended April 27, 2018
Every Year Looks Volatile Compared To 2017
Consider The Potential Opportunity Costs Before You Sell In May And Go Away!
US Stock Markets Ended April 20, 2018
US Economy and Credit Markets Ended April 20, 2018
A Snapshot Of European Equities
Stock Buybacks Are Expected To Rise Markedly Thanks To Tax Reform
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 © 2020 All rights reserved.