The Market Bull – March 18 2019
The major averages begin the week with small gains on little real news. Trump’s next meeting with the Chinese to discuss trade has been pushed back until June apparently.
The National Association of Home Builders housing market index was unchanged in March at 62. Of the three housing market index components, current sales and expected sales increased while buyer traffic declined. The western region advanced 2 points to 69. This series continues to show solid real estate activity.
Attom Data Solutions reports that 60 of the 220 regional real estate markets it covers reported a year over year increase in foreclosure activity in January. Some particularly hard-hit cities include Orlando Florida up 72%, Austin Texas up 60% and Miami Florida with a 44% increase. At the state level Florida leads with a 91% gain from a year ago, followed by Texas +50%, Washington +41%, Hawaii up 31% and Arizona up 29%.
The latest quarterly FDIC Banking Report showed that banks had a net unrealized loss on securities investments in 2018 of 251 billion Dollars the largest figures since 2008 during the last crisis. Net income more than doubled to 59 billion with a generous assist from Trumps debt funded tax cut. Bank assets hit a new record high of 17.94 trillion.
Charge offs and loan loss provisions increased somewhat but are far from being alarming.
Standard and Poors 500 Index closed at: 2,832.98 up 10.50
NASDAQ finished the day: 7,714.48 up 25.95
Gold ended trading at: $1,303.20 up $.30