US Economy and Credit Markets Ended May 25, 2019

Bob Carey
Chief Market Strategist
Click for Bio

Blog Home

Send Us Your Comments And Questions

RSS Feed

US Economy and Credit Markets Ended May 25, 2019

Posted Under: Weekly Market Commentary

U.S. Treasury yields rallied on Friday after geopolitical turmoil continued to rattle financial markets last week. President Donald Trump mentioned the United States would be willing to pull back its ban against Huawei Technologies Inc. as part of a trade deal. Investors remain concerned that the longstanding trade dispute will not be resolved. On Thursday, the U.S. Treasury 10-year yield fell to the lowest level since late 2017. The drop in Treasury yields on Thursday were due in part to the reception of United States economic data. April new single-family home sales fell 6.9%, with median prices of new homes sold 8.8% higher year-over-year. April existing home sales fell 0.4%, with median prices of existing homes sold increasing 3.6% versus one year ago. Despite the disappointing headlines, the underlying data was more encouraging. New home sales are up 7.0% from a year ago. Mortgage rates are about 80 basis points lower than peak rates in November, which aids home sales. As for existing home sales, the rate of growth for median prices has been slowing and inventories are improving versus this time last year. Major economic reports (related consensus forecasts, prior data) for the upcoming week include: Tuesday: March FHFA House Price Index MoM (0.2%, 0.3%), May Conference Board Consumer Confidence (130.0, 129.2); Wednesday: May 24 MBA Mortgage Applications (n/a, 2.4%); Thursday: 1Q Second GDP Annualized QoQ (3.1%, 3.2%), 1Q Second Personal Consumption (1.2%, 1.2%), May 25 Initial Jobless Claims (214k, 211k), April Preliminary Wholesale Inventories MoM (0.1%, -0.1%); Friday: April Personal Income (0.3%, 0.1%), April Personal Spending (0.2%, 0.9%), May MNI Chicago PMI (54.0, 52.6), May Final University of Michigan Sentiment (101.3, 102.4).

Posted on Tuesday, May 28, 2019 @ 8:18 AM • Post Link	Share:
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.

Most Current Posts

<<< Newer Posts • Older Posts >>>

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
•	A Snapshot Of The Rally In The U.S. Dollar
•	Tracking The Retail Investor’s Appetite For High Yield Corporate Bonds
•	US Stock Markets Ended May 17, 2019
•	US Economy and Credit Markets Ended May 17, 2019
•	A Snapshot Of Bond Valuations
•	A Snapshot of Moving Averages
•	Interest is 3x More Expensive than Earnings
•	US Stock Markets Ended May 10, 2019
•	US Economy and Credit Markets Ended May 10, 2019
•	U.S. Major Stock Indices Have Outperformed Their Foreign Counterparts Since Trump Was Elected