Caleb Lawrence – KPIG-KPYG Radio – Share the Wealth – February 15, 2017
Manic momentum chasing pushed the major averages to another new record high as disarray and scandal threaten to engulf the Trump administration after less than a month on the job.
The January Consumer Price Index or CPI jumped .6% double expectations on sharp gains in energy and to a lesser extent services prices. On a year ago basis the CPI has advanced 2.5% a second consecutive month above the Fed’s 2% target.
Retail sales beat expectations in January with a .4% advance on broad based spending. A 5th consecutive month of decent sales gains will see if it translates into broader economic activity going forward.
Industrial production disappointed with a .3% decline in January on weak motor vehicle and utilities production. On a year ago basis production is essentially unchanged.
Mortgage activity slipped 3.7% last week as per the Mortgage Bankers Association index. Refi’s dropped 2.9% while purchase apps fell 4.5%. the 30-year contract rate slipped fractionally to 4.32%.