US Economy and Credit Markets Ended April 9, 2021

Treasury yields mostly fell last week across the yield curve, reversing a recent surge. The trade deficit widened to a record $71.1 billion in February, as supply chain disruptions and a widespread blackout in Texas led to a decline in exports. Continued claims, or the number of people receiving unemployment benefits, continued to slowly improve, falling to a one-year low of 3.73 million in the week ending on March 27. That represents a significant improvement from the high of over 23 million reached in May 2020. Producer prices increased well ahead of expectations in March, rising 1% over the prior month. Year over year, producer prices increased 4.2%, which was the largest yearly increase since 2011. However, producer prices fell around the start of the pandemic and the lower base contributed to the large year-over-year increase. Major economic reports (related consensus forecasts, prior data) for the upcoming week include Tuesday: March CPI MoM (0.5%, 0.4%); Wednesday: April 9 MBA Mortgage Applications (N/A, -5.1%); Thursday: April 10 Initial Jobless Claims (700k, 744k), March Retail Sales Advance MoM (5.2%, -3.0%), March Industrial Production MoM (2.8%, -2.2%), April Empire Manufacturing (18.5, 17.4); Friday: April Preliminary U. of Mich. Sentiment (89.0, 84.9), March Housing Starts (1602k, 1421k).
Posted on Monday, April 12, 2021 @ 8:28 AM

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.