Economic Update 08-10-2020 Economic data for the week included strength in ISM manufacturing and non-manufacturing surveys, a better-than-expected employment situation report for July, and a slight improvement in jobless claims. Global equity markets inched higher last week with improved economic data and investor sentiment. Bonds were little changed, in keeping with minimal changes in the […]

Economic Update 08-03-2020 Economic data for the week included the Federal Reserve keeping monetary policy unchanged and accommodative, GDP for the 2nd quarter came in showing historical weakness as expected, jobless claims remained elevated, while housing data showed signs of life with building activity picking up and prices steady due to tight market inventory. U.S. […]

Economic Update 07-27-2020 Economic data for the week included stronger results for housing prices and sales activity, some of which was due to continued tight inventories. The index of leading economic indicators also showed signs of improvement. However, jobless claims rose, which disappointed relative to expectations. U.S. equity markets lost ground last week, while developed […]

Economic Update 07-20-2020 Economic data last week included rebounds in retail sales, industrial production, and housing. Inflation metrics also showed a small creep up on prices for certain goods. Manufacturing data was mixed, while consumer sentiment weakened slightly. Equities in developed nations around the globe generally gained, with hopes for a trough in economic growth […]

Economic Update 07-13-2020 A light calendar of economic data for the week included a record increase in non-manufacturing, lower producer prices, and stronger job openings. Global equity markets rose last week, as stronger economic data outweighed mixed results of pandemic infections around the world. Bonds fared well with credit spreads contracting in the U.S., and […]

Economic Update 07-06-2020 On a shortened holiday week, economic data included sharp improvement in manufacturing, as well as in the June employment situation report. Housing and consumer confidence also showed promise, as a variety of data points appear to be rebounding from extremely low levels. Global equity markets gained, with stronger economic news; U.S. stocks […]

Economic Update 06-29-2020 Economic data last week included higher than expected durable goods orders, along with mixed housing and jobless claims data. Inflation results remain tempered, as expected from low consumer demand. U.S. equity markets fell sharply last week with a continued rise in Covid infections in newly re-opened states, while foreign stocks fared generally […]

Economic Update 06-22-2020 Economic data continued to rebound last week from the troughs of commercial activity during lockdowns. Strength was pronounced in retail sales and industrial production, as well as carryover into the index of leading economic indicators. U.S. and foreign equity markets gained as economic results continued to improve along with business reopenings. Bonds […]

Economic Update 06-15-2020 Economic data for the week included the conclusion of the FOMC, where no monetary policy action was taken but the overall tone remained somber. In keeping with Covid-related economic disruptions, several inflation measures saw deceleration, consumer sentiment improved, while employment conditions continue show multi-decade weakness. U.S. equity markets fell around the globe […]

Again, as expected, the FOMC kept the fed funds interest rate steady at a lower-band target of 0.00-0.25%. Without dipping into the unchartered and controversial waters of negative rates, this is as far as they can go. The formal statement remained bleak in tone, with an outlook for growth extremely challenged due to Covid, not […]