The Market Bull – April 23, 2019
Mixed but generally positive data sent the major averages into the close with solid gains. The NASDAQ and Standard and Poors 500 indexes hit new record highs.
Richmond Fed regional index missed expectations in March falling 7 points to 3 on weakness in the average workweek and new orders with both going into the red for the month. Trade, more specifically tariffs remain downside risks. While the imposition of a 25% tariff on Chinese goods seems to have been abandoned for now, along with Chinese retaliatory tariffs on US goods. A trade war is looming with Europe.
Unlike existing home sales, new home sales continue to bounce back, benefitting from lower interest rates. A third consecutive gain in March saw the series advance 4.5% to 692,000 units annualized. Despite a small decline, month’s supply remains high at 6. The median price, increasingly negative, fell 5.3% for the month to $299,700. On a year ago basis prices are nearly 10% lower.
Standard and Poors 500 Index closed at: 2,933.68 up 25.71
NASDAQ finished the day: 8,120.82 up 105.56
Gold ended trading at: $1,274.10 down $3.50