The Market Bull – February 21, 2019
The Major averages couldn’t recover their early losses closing modestly lower. On generally disappointing data.
Durable Goods orders missed expectations in December despite a 1.2% gain on strength in non-defense capital goods. The proxy for business spending non-defense capital goods ex aircraft fell for a second month down .7%, marking a 4th decline in the last 5-months.
A volatile series one month means little. That said this series has been weak now since April of last year.
The Philadelphia Fed regional survey missed big in February plunging 21.1 points to minus 4.1, the first negative reading since 2016 for the series.
Weakness was notable in new orders -2.4, employment advanced to 14.5. Price data was mixed but remains fairly high.
Existing Home Sales continued their downward trend in January falling 1.2% to 4.94 million units annualized. This marks a 5th decline in the last 6-months.
Sales were particularly weak in the West -2.9% and the Midwest -2.5%. Month’s supply increased slightly to 3.9, about even. The median price fell 2.8% from a year ago to $247,500.
Standard and Poors 500 Index closed at: 2,774.88 down 9.82
NASDAQ finished the day: 7,459.71 down 29.36
Gold ended trading at: $1,325.40 down $22.50