The Market Bull – March 29, 2019
The major averages closed with modest gains on generally positive data. Since Monday the Standard and Poors 500 Index is up 38 points or 1.36%, while the NASDAQ has gained 110 points or 1.44%.
Personal Income missed expectations in February with a .2% advance. Strong gains were seen in rental and proprietor’s income and to a lesser extent transfer payments or various social welfare programs. On a year ago basis personal income gains slipped fractionally to a still respectable 4.2%.
The PCE Deflator fell .1% in January as inflationary pressures continue to recede, on large declines in energy and services costs. The year ago rate slipped to a very low 1.4%. Personal Spending rebounded from its sharp slump last month with a .1% advance in January. Durable goods spending was very weak for a second consecutive month falling 1.6%.
Lower interest rates helped to push New Home Sales higher in February after they rose 4.9% to 667,000 units annualized. Month’s supply fell to 6.1. The median price advanced 3.3% to $316,500. Large sales gains were seen in the Midwest and Northeast, the West was unchanged. On a year ago basis prices are lower, as is the overall sales trend.
Standard and Poors 500 Index closed at: 2,834.40 up 18.96
NASDAQ finished the day: 7,729.32 up 60.16
Gold ended trading at: $1,291.90 up $2.10