Succinct Summation of Week’s Events 1.5.18 (plus predictions for 2018)

Below is the usual Sunday night weekly summation.  This week's bonus is an article from a recent issue of Investment News in which their guru, Bob Doll, makes his 10 predictions of what's going to happen to the market in 2018.  Prognosticators are always entertaining.  Hopefully this severe cold snap is over now and we can enjoy the coming week.


Succinct Summation of Week’s Events 1.5.18

January 5, 2018 5:00pm by Barry Ritholtz

Succinct Summations for the week ending January 5th, 2018

Positives:

1. Stocks are off to a great start this year – all major U.S. indices hit fresh all-time highs.
2. Average hourly earnings increased by 0.3% m/o/m, above the 0.1% expected change.
3. Construction spending rose 0.8%, above the 0.6% expected. Single-family homes rose a strong 1.9%.
4. Unemployment remains low, at 4.1%
5. December PMI services rose came in at 53.7, down from 54.5 previously but well above the 52.4 expected; PMI manufacturing rose from 53.9 to 55.1, slightly ahead of expectations  .
6. ADP employment showed a gain of 250k private payrolls in December, well above the 188k expected.
7. Factory orders rose 1.3%, above the 1.1% expected.

Negatives:

1. Nonfarm payrolls fell grew only 148k, well below the 191k expected.
2. Jobless claims rose from 245k to 250k, the 4-week moving average rose from 238.25k to 241.75k.
3. MBA mortgage applications fell 2.8% w/o/w, being dragged down by refinancing (-7.8%).
4. ISM non-manufacturing fell from 57.4 to a still strong 55.9, below the 57.6 expected.

 Sun 1-7-18 Bob Doll's 10 predictions for 2018