The Market Bull – August 5, 2019
With the USA branding China a currency manipulator and the rhetoric over the trade war escalating dramatically the major averages plunged. Closing with their worst day of the year, disappointing economic data added to the carnage.
The Institute of Supply Managers Non-Manufacturing or services index missed expectations in July falling 1.4 points to 53.7. The details were unremarkable. This series continues to trend lower as it has done since September of last year.
The Senior Loan Officer Survey for the 3rd Quarter showed lenders easing standards for Commercial and Industrial loans again, real estate being a notable exception. Lending standards for consumer loans continue to tighten, but demand remains strong.
CoreLogic reports that home prices advanced 3.4% in June on a year ago basis, and it would appear that the trend of lower rates of price appreciation is reversing. For the month prices advanced .4%. Gains were particularly strong in Philadelphia +.9%, Phoenix and Riverside both advanced .6%. None of the areas covered by the report showed declines for the month.
Standard and Poors 500 Index closed at: 2,844.74 down 53.33
NASDAQ finished the day: 7,726.04 down 97.29
Gold ended trading at: $1,463.70 up $1.10