The Market Bull – April 22, 2019
The major averages finished about even despite disappointing news as existing home sales missed substantially in March.
The Chicago Fed National Activity Index advanced to -.15 in March while the improvement in the sub-categories was broad based the 3-month moving average slipped deeper into the red at -.24. This also marked the 3rd consecutive month in the red for the series that covers about 85% of total economic activity. For reference -.7 indicates recession.
Residential construction data disappointed in March with starts continuing their downward trend losing .3%. Permits fell for a 3rd month off .7%, this despite considerably lower mortgage rates of late. On a year ago basis housing starts are down a not insignificant 14.2% as real estate, like manufacturing is showing real signs of weakness in the last 6-months or so.
Existing homes sales missed expectations in March falling 4.9% to 5.21 million units annualized with all regions experiencing declining sales, the West fell 6% giving back a chunk of last month’s outsize gain. Month’s supply moved back to 3.9, the median price increased to $259,400 3.8% higher than a year ago.
Standard and Poors 500 Index closed at: 2,907.97 up 2.94
NASDAQ finished the day: 8,015.27 up 17.21
Gold ended trading at: $1,277.10 down $.50