The Market Bull – October 17, 2019
Despite disappointing data, the major averages closed with small gains. Along with rumors of a trade war deal, rumors of a Brexit settlement circulate as well.
Housing Starts missed expectations in September falling 9.4% to 1.256 million units annualized, a 4th decline in the last 6 months. Permits slipped 2.7% to 1.387 million units annualized. All regions saw starts decline for the month, the West slipped the least down just 1.9%.
The Philadelphia Fed regional survey fell by more than half to just 5.6 in October. That said the sub-components showed some surprising strength with new orders and employment both improving. Price data moderated significantly. Manufacturing’s latest challenges remain tied to the slowdown in global growth and the U.S.-China trade war.
Industrial Production missed expectations in September falling .4%, a second decline in the last 3-months it was led by a 1.3% decline in mining, manufacturing slipped .5%, utilities production increased 1.4% bucking the trend. Capacity Utilization dropped to 77.5%.
Standard and Poors 500 Index closed at: 2,997.95 up 8.26
NASDAQ finished the day: 8,156.85 up 32.67
Gold ended trading at: $1,495.70 up $1.70