The Market Bull – September 20, 2019
The major averages closed with modest losses, unable to hold their early gains. Data from the Treasury showed household finances continuing to improve. For the week the Standard and Poors 500 Index gave up 4 points as did the NASDAQ, with both indexes closing almost unchanged.
The Federal Reserve’s 2nd Quarter Flow of Funds Report showed household net worth increasing to 113.5 trillion in the 2nd quarter. Debt advanced 4.3% during the period in question. Household percent equity slipped fractionally to 64.2%.
CoreLogic reports that homes with negative equity fell 7% in the 2nd Quarter to 2-million properties. On a year ago basis negative equity properties decreased by 9%. At the state level Louisiana was the worst with 10.3% of properties underwater. At the other end of the scale Washington had just 1.5% of properties with negative equity. California was tied for ninth place with 2.1% of properties underwater.
This graph from CoreLogic shows the percent negative equity by states.
Standard and Poors 500 Index closed at: 2,992.07 down 14.72
NASDAQ finished the day: 8,117.67 down 65.21
Gold ended trading at: $1,524.40 up $18.20