Is the consumer dead, or are there different values driving household spending?
The markets and the presidential race are going to be tied into the same sentence more and more as we approach November; its inevitable that business will take sides and root for one candidate over another.
Tuesdays economic data actually drove the 2Q17 Gross Domestic Product (GDP) expectations lower at the Atlanta Fed, but it was the regional Fed banks Hourly Wage Tracker that set the pace of the session.
Maybe its a gut feeling based more on a lack of confidence in the economy and a very dramatic race for the White house; maybe its concerns about the Fed hiking rates. Maybe its general worries; selling begets selling that further begets more selling.
So, what is the true state of the economy? At least a half a dozen retailers including Dillards (DDS) are getting hammered this week.
If youre a business owner and you are anything like me, you love an Office Depot or Staples store with all those supplies; arming yourself to go it alone and conquering the world of business is exciting.
This is why Disneys (DIS) earnings are so important after the close. One of the best run companies in the world, the stock has reflected pressure from its ESPN unit, all but ignoring all other successes.
It was a rollercoaster session that saw stocks initially swoon to a disappointing jobs report that missed Wall Street consensus by a mile so we couldnt even rationalize let alone celebrate mediocrity.
It was another difficult session for the stock market particularly the NASDAQ, which has tumbled in 9 of the last 10 sessions (see chart).
These days, auto sales arent the pure proxy for the economy it once was in part because of easy money and the dire need to replace aging cars and trucks.
So, the market posted a pretty impressive rally Monday without any visible catalyst other than perhaps Warren Buffett saying the economy, and market, would be okay with a president Clinton or Trump.
The market has had an interesting two-day period thats either adding confusion or a reflection of confusion.
They say records are made to be broken.
Gross domestic product was a major disappointment as consumers turned off the spigots on long term outlays, in part because of rising cost on healthcare, which continues to gobble up large swathes of the economy.
The Dow is up 21 points, and while that might not sound like a big deal, coming into the session investors were bracing for as much as 200 points lower. Apple has come off its lows and Boeing is unchanged.
Once again consumer confidence continues to slide as people seemed more confused than pessimistic, although, one might argue whats the difference?
It was a rollicking week for the market; whipped around by corporate earnings that continued the trend of top line misses and bottom line beats.
We hear the words revolt and revolution a lot these days, but we may be too complacent of a nation to stay angry beyond November. However, Prince had it right- start a revolution within your own life.
According to the Bank of America, coming into this week their clients have been net sellers of stock for 12 consecutive weeks.
Spring is typically a great time for real estate and home builders.