1/17/20 Market Notes
Benign inflation data, slightly better than forecast economic data and robust earnings helped propel stocks to new all-time highs on Thursday, as the Dow Jones Industrial Average climbed 267 points, as the S&P 500 gained a slightly less 0.84%, the NASDAQ rallied more than 1% and the Russell 2000 Small Cap Index rose 1.36%. All eleven sectors of the S&P ended higher, led by a 1.40% gain in the Technology sector and a 1.01% gain in the Industrial sector. The U.S. dollar was mixed, as Treasury yields climbed slightly on expectations of better than anticipated global economic growth.
Asian and European bourse are following the U.S.s footsteps gaining across the board on the back of solid Chinese economic data and better than forecast earnings from several European bellwether companies – driving the SOXX 600 index to a record high. Premarket U.S. equity futures are also pointing to further gains, as market participants shun the D.C. led impeachment circus, instead focusing on positive trade and earnings developments.
In addition to several key earnings reports, investors will also get the latest Housing, Capacity Utilization and Industrial Production data this morning. Economic data releases will be light next week, as the Martin Luther King holiday shortens the week. However, investors can look forward to 196 earnings reports next week.
Disclosures: This market commentary is written by the 1879 Advisors Investment Committee and represents the views of 1879 Advisors. This commentary is not investment advice and should not be used as a basis to make investment decisions. Please consult with your registered investment advisor before making any investment decisions.