Sunday, November 20, 2016

Succinct Summation of Week’s Events 11.18.16

Transferring the hundreds of video editing files that I have amassed over the years to the new pc has proven problematic so I continue to operate from the laptop this weekend.  But the week's succinct summary is again presented below for your review.  I have close to 500 GB of video files to transfer and then there is also the challenge of how to back them up as they are completely irreplaceable.  These are the tasks that occupy me as I continue my journey through the CFP.

On Friday I was invited by an Ann Arbor financial services firm to apply for an open internship position.  The last time I applied for a job the routine was to send in a resume and then wait for a call.  In this brave new world, one now submits an application via the company's web site and this particular company only needs my name, address, and college I graduated from.  They require all other information to be placed on my LinkedIn account.  So I have spent the weekend opening a LinkedIn account and building a profile, which I completed just a few hours ago.  Tomorrow morning I will submit the application and then wait and see.  I am sure I am one of many applicants.  Last week, I was also given the green light to to enroll in the official 14 month academic CFP cohort program that begins in February.  I will continue using this blog to document my journey as it progresses.

I am sincerely hoping that this is my last posting from this old laptop and that I can resume the daily posts after the holiday weekend.  Hope you all had a great weekend.

Succinct Summation of Week’s Events 11.18.16

Succinct Summation of the Week’s Events:

Positives:

1. Jobless claims totaled 235k, lowest level since 1973, well below the estimate of 257k.
2. Retail sales in October jumped 0.8% month over month, double expectations. September and August were each revised up by 0.2. Online sales rose 1.5% m/o/m and are up 10% y/o/y.
3. Housing Starts for October totaled 1.32mm, well over 1.156mm estimates, and the best level since August ’07.
4. NAHB November builder survey index was unchanged at 63 as expected, remaining well above 50. This number though came before the jump in interest rates and the same can be said for housing starts.
5. Producer prices were benign in October, flat m/o/m and up just 0.8% year over year.

Negatives:

1. 10 yr yield spiked by about 50 bps and the 10 yr inflation breakeven is higher by 20 bps to the most in 18 months.
2. Headline CPI in October jumped 0.4% m/o/m; Energy price gains drove y/o/y CPI gain up 1.6%, Food prices were flat m/o/m but down 0.4% y/o/y.
3. Input prices rose 0.5% m/o/m in September, the most since June as petro prices jumped by 7.5%, now up 4.5% y/o/y.
4. No change in US industrial production in October, and September was revised down by 3 tenths.
5. September saw the largest month of net foreign selling on record of US notes and bonds, totaling $76.6B, dating back to when record keeping began in 1977. Total selling past year was $310B.
6. Mortgage rates, mortgage applications to buy a home fell 6.2% w/o/w as of November 11th. Refi’s fell by 11% w/o/w but remain up by almost 19% vs last year because one year ago the average 30 yr mortgage rate was around 4.15%. The average 30 yr mortgage rate this past week jumped 18 bps on the week to 3.95%, a level last seen in January.

BUSINESS NEWS | Mon Nov 14, 2016 | 5:54pm EST

Wall Street ends flat as financials' rise offsets tech drop

DJ: 18,868.69  +21.03       NAS: 5,218.40  -18.72     S&P: 2,164.20  -0.25   11/14
The market continues to hold steady after last week’s enormous post-election with Wall Street apparently getting increasingly more comfortable with the Trump, especially when viewed from the point of view of big gains in financials, industrials and energy, all industries seen benefiting from potential Trump policies.  Trading remains way above average in its rigor at 10 billion shares. 

BUSINESS NEWS | Tue Nov 15, 2016 | 6:07pm EST

Wall Street rises, lifted by technology and energy stocks

Dow record close as technology and energy power market
DJ: 18,923.06  +54.37      NAS: 5,275.62  +57.22      S&P: 2,180.39  +16.19                11/15 

One week after the election the market continues to hold steady after the post-Trump euphoria with the Dow continuing into a 7th day of rallies.  Oil got a big boost from, once again, hopes that OPEC will finally cut production.  Overall, investors have pushed the index to a fourth consecutive record high on bets that Trump will keep good on his promises regarding taxes and spending.  Retail sales also were better than expected.  Volume continues to be brisk at 8.4 billion.     

BUSINESS NEWS | Wed Nov 16, 2016 | 5:53pm EST

Dow, S&P 500 drop as U.S. bank rally wanes, tech boosts Nasdaq

By Sinead Carew | NEW YORK
DJ: 18,868.14  -54.92      NAS: 5,294.58  +18.96      S&P:  2,176.94  -3.45   11/16
After a huge 7-day rally, the market has stopped to take a breath and do a modest retreat bringing the Dow down 54 points.  The banking surge is seen as having topped out and investors are now looking for clarity on whether Trump’s promises will translate into reality.  There is the added complication of a now 81 percent likelihood that the Fed will raise rates next month.  Volume is still brisk at 7.3 billion but given the extraordinary activity of the past week is actually below the recent average of 7.9 billion. 

 BUSINESS NEWS | Thu Nov 17, 2016 | 5:59pm EST

Wall street stocks lifted by data, earnings Yellen remarks

By Sinead Carew | NEW YORK
DJ: 18,903.82  +35.68      NAS: 5,333.97  +39.39      S&P:  2,187.12  +10.18                11/17
The market continues to settle in after the huge post-election rallies, today with a modest gain of 35 points, mostly triggered by Yellen’s encouraging comments regarding continued economic strength.  Consumer prices also hit their highest in six months along with a 9 year high on housing starts, all endorsing the encouragement.  The Dow is now at a record level for four consecutive sessions.  A healthy 7.4 billion shares changed hands though, due to the recent extraordinary activity, it is still below the recent average of 7.9 billion. 

BUSINESS NEWS | Fri Nov 18, 2016 | 5:59pm EST

Wall Street slips, led by healthcare decline

By Sinead Carew | NEW YORK
DJ: 18,867.93  -35.89      NAS: 5,321.51  -12.46      S&P: 2,181.90  -5.22   11/18
The market continues to hold steady after an extraordinary 10 days.  The mild decline of 35 points is attributed to uncertainty over Trump’s plans for healthcare and reflect the market taking a breather until more information is in hand.  6.7 billion shares confirms the day’s “wait and see” attitude, which is considerably below the 4 week average of 8 billion.  


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