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Weekly Market Review - November 15, 2019

StrategIQ® Financial Group, LLC |
Categories
Finance
Weekly Market Commentary

By Bradley J. Rathe, AIF®
Chief Investment Officer

November 15, 2019

"Real generosity is doing something nice for someone who will never find out." Frank A. Clark

Weekly look back:
  1. Inflation data was hotter than expected according to both the consumer (CPI) and the producer (PPI) indices, each increasing by .4%.  The CPI increased 1.8% for the 12 months ending October 2019 and the PPI 1.1%.
  2. The consumer has been the main force behind the strong economy this year.  Retail sales surprised with a .3% advance and raising hopes for strong holiday sales.
  3. Industrial sales were pulled down by the recent GM strike.  Manufacturing in general has been hit by the ongoing trade dispute between the US and China.
Weekly look ahead:
  1. Housing Starts data showed extremely strong Permits.  This is a forward looking indicator and bodes well for future housing data.
  2. Central banks are hoping to take a back seat after flooding stimulus to the economy with the US Fed's three rate reductions.  We look forward to getting an insight into their views when the FOMC minutes are released this week.
  3. Ongoing economic confidence by consumers has been driven by a strong job market and solid wage growth and the report on Consumer Sentiment is expected to show ongoing robustness this month.
World Macro highlights for this week: 

Tuesday: Housing Starts
Thursday: Philly Fed Outlook Survey, Existing Home Sales
Friday: Consumer Sentiment

2019 Yearly Index Returns as of 11/15/2019

S&P 500 

26.53%

Europe Equity

23.04%

Emerging Equity

13.38%

US 10 Yr

-0.85 bp

US Small Cap Stocks

19.85%

 

Graph Of The Week

Inflation Rate, as you can see in the graph, as measured by CPI, has been extremely muted for more than 10 years and we expect a similar trend in the near future.

Unless otherwise expressly indicated, the opinions or views expressed in this article are the author's own and do not reflect, and may differ from, the opinions or views of Strategic Financial Group, LLC or others within Strategic Financial Group, LLC, including its officers, managers, owners, employees or other service providers.