Profits/Jobs/Inflation

Investors had much to digest last week, and this week will be much of the same! 87% of the S&P 500 companies have reported quarterly earnings with 75% topping earnings estimates 528,000 was the number of reported new jobs filled for July.  The unemployment rate is now down to 3.5% This Wednesday we’ll hear the […]

Bear Market Rally?

Earnings reports from Amazon, Apple and a few others helped to fuel the recent market rally.   It’s certainly nice to see the S&P make a fairly significant move off of it’s mid-June low of approximately 3666, to close @ 4130 last Friday. Is this a “bear market” rally?  Like most facts, we’ll know over the […]

Has Inflation Peaked?

Last week, the Consumer Price Index (CPI) and the Producer Price Index (PPI) reported higher than anticipated on the headline number, that includes food & energy. Oil and gasoline costs in June certainly drove the headline numbers higher.  It’s nice seeing gasoline prices recently start to moderate.  We certainly hope this continues!  Provided we don’t […]

Economic Reports & Corporate Earnings!

Economic reports and corporate earnings will be front and center this week. This Wednesday we’ll hear June’s Consumer Price Index (CPI).  The estimate is for the headline number, which includes food and energy, will come in at 8.8% (an increase from 8.6%).  The Core CPI is estimated to track lower at 5.7%, down from 6% […]

Inflation, Recession, and the Markets

With the S&P 500 down over 19%, many are starting to ask “is now the time to buy??” According to Goldman Sachs, the forward Price to Earnings Ratio for the S&P 500 stands at 16.9.  The range of 16 to 18 suggests that stocks are fairly valued, taking into account corporate profit estimates for the […]

Stocks POP… But Will it Last??

Stocks moved higher last week, providing a small amount of year-to-date relief.  US major stock indexes all traded higher, over 5%.  Foreign stocks and emerging market stocks also finished higher. Was last week simply an oversold bounce?  Will we add to the gains?  If you’re sitting on cash “ear-marked” for equities, adding funds will most […]

Fed Slowing Demand?

Is the Fed starting to slow demand for goods and services?  I believe the current answer is “Yes!”  Mortgage interest rates have doubled off the low, now over 6%. Lumber (which is priced in US dollars per 1000 “board feet”) is priced @ $585 today, down from $1456. Used Car sales are starting to slow. […]

What Else??

Clearly, we are running far behind in our attempt to bring down inflation.  Last week’s Consumer Price Index (CPI) number was red hot, with an increase of 8.6% over the last 12 months.  That’s a 40-Year high! We know inflation has been running hot for a while, however the Fed has only raised rates 2 […]

Social Security – Some Good News!

The Social Security and Medicare Board of Trustees released their annual report.  Solvency of both programs has been a concern for years.  The good news is the report showed both Social Security and Medicare to be in a more positive position, as of now. The Social Security Trust fund is now scheduled to deplete in […]