The major averages enter the final hour about even, after opening mixed on little real news. Since Monday the Standard and Poors 500 Index has gained 9 points or a little less than a 1/3%, while the NASDAQ has advanced an inconsequential 8 points since Monday.
Despite considerable geo-political instability, more warnings of financial crisis out of Europe and China. A deteriorating political situation here at home inside the beltway and Trumps latest shoot from the hip folly directed at the Federal Reserve is unprecedented executive office interference after the President expressed his dissatisfaction with higher interest rates. Then when your blowing Trillion Dollar plus annual deficits to fund tax handouts to the 10% and corporations, the motivation for lower interest rates becomes painfully obvious.
Regional employment data from the Bureau of Labor Statistics shows New England as a real standout for job creation in June, but most regions did quite well, the one laggard being the Pacific region as it struggled to create jobs last month. On a year ago basis the Mountain, West South Central and Pacific regions were the top 3 for job creation.
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Little real data sent the major averages into the final hour with small losses. Trade war talk and various diplomatic blunders fades into the background.read more
Housing starts, and permits miss substantially. Mortgage activity continues to slip. Can the economy dodge higher interest rates and a trade war?read more
Industrial production bounces back in June. The IMF warns that Trumps trade war will shave 430 billion or .5% from global growth, nobody wins.read more
Trade war rhetoric gets taken up a notch. Retail sales advance solidly for a 4th month in June. New York Fed slips but remains strong.read more
The major averages advance for the week and seem convinced that trade wars are easily winnable, I’m not so sure. Import prices slip on falling energy costs.read more
Debt funded corporate share buybacks, don’t work long-term. Trade wars are bad for business and have significant negative consequences.read more
Velocity of Money hits a 69-year low of just 1.43 at the end of 2017. Over the same period new debt produced less and less economic growth.read more
Major averages jump again. Consumer credit blows out on surging credit card, student and auto loans. Wholesale prices up .5% in May, per the PPI.read more
Major averages surge higher to begin the week. Tariff inspired price hikes begin to appear. Low unemployment fails to produce meaningful wage gains.read more
As the trade war goes hot with tit for tat tariffs with China, Russia adds its own tariffs. Jobs gain 213,000 in June, unemployment rate 4%, details ok.read more