Here is the week’s succinct summation of the week’s events:

Positives:

1. Dow and S&P 500 had strong weeks, with the S&P closing at 52 week highs and the Dow closing at all time highs.
2. Unemployment rate declines to a a 4 year low of 7.7%
3. February NFP up 236k (165k consensus)
4. Total net worth for households and non-profit groups increased to $66.1 trillion in Q4. Thats a 1.8% gain, or by $1.17 trillion dollars better than Q3 and the highest level in 5 years.
5. Beige Book indicated that economic activity generally expanded at a modest to moderate rate.
6. U.S dollar index climbed to its highest level since Aug 2009
7. Gas prices are on pace for their 10 straight day of declines on dollar strength.
8. First time jobless claims fell to 340,000, the best in six weeks.
9. ISM non-manufacturing 56
10. 48K construction jobs added in February, the most since December 2007.
11.  ADP jobs report 198k v expectations of 170k
12. Asian stocks continue to rally, at highest levels since August 2011
13. UK services PMI grew at its fastest pace in five months.
14. Consumer credit outstanding rose in January and saw the biggest jump since August

Negatives:

1. Productivity in US Falls 1.9% in Q4, labor costs climb 4.6%; Biggest productivity drop in four years.
2. January factory orders in the US fell 2%
3. AAII bullish sentiment increased by less than 3%from 28.4% to 31.1%.
4. US Trade deficit widens to $44.45 billion, larger than the $42.6 billion expected
5. ECB predicted Euro area economy will shrink 0.5% in 2013.
6. Germany factory orders fell by 1.9% in January vs 0.6% expected. Factory orders for the European Union as a whole fell by 4.1%
7. French unemployment rose to a 13 year high of 10.6% in Q4
8. Fitch downgrades Italy’s credit rating to BBB+ from A- (further downgrades possible)

Category: Markets

Please use the comments to demonstrate your own ignorance, unfamiliarity with empirical data and lack of respect for scientific knowledge. Be sure to create straw men and argue against things I have neither said nor implied. If you could repeat previously discredited memes or steer the conversation into irrelevant, off topic discussions, it would be appreciated. Lastly, kindly forgo all civility in your discourse . . . you are, after all, anonymous.

9 Responses to “Succinct Summation of Week’s Events (March 8, 2013)”

  1. hat tip @michaelbatnick

  2. Pantmaker says:

    Jobs report was crushed. Only a blind man would have missed this money train. Kind of the bears to be covering this week. Everyone have a great weekend! Barry you rocked it this week!

  3. Ramstone says:

    I’m inclined to put the productivity drop in the positive column; bulimic corporations finally eating will increase agg. demand medium term.

  4. Rob Dawg says:

    > “Productivity in US Falls 1.9% in Q4, labor costs climb 4.6%; Biggest productivity drop in four years.”

    While I continue to keep at least one foot in the muddle camp, “productivity” is often an artifact of increased hiring with no commensurate increase in reported production. A decline in productivity is not measurable on this time scale.

  5. Angryman1 says:

    The US needs to invest more into weather…….the power grid……..the entire physical and digital infrastructure.

  6. MayorQuimby says:

    *Watch oil*. If oil breaks 5 year trendline southwards, margin expansion possible in many sectors and could be *very* bullish for short-term trade for certain companies and overall economy. In fact, I would increase margin requirements or do whatever it takes to get oil to drop into the low-to mid-80′s if I were a badge-holding member of Team PPT.

    Watch emerging markets as well – if their weakness is not offset by strength here bad things can happen. Lots going on and I think lots of money is still flowing into equities a bit longer.

  7. RW says:

    Unemployment has fallen but so has labor force participation so the employment to population ratio remains unchanged, no better than it was at the trough four years ago. That is what comes from ‘pivoting’ to austerity and deficit reduction instead of focusing on jobs, first and foremost.

    A Good Employment Report This Month; A Bad Labor Market

    There has been no closing of the output gap and no decline in the unemployment rate from putting a greater share of the adult population to work. All of the decline in the output gap and all of the decline in the unemployment rate is from the collapse in labor force participation.

    The Republicans may have promoted this debacle and helped sustain its pitiless aftermath but they were not alone and it represents a system-wide failure of leadership however it’s sliced.

    PS: The Fitch downgrade of Italy’s creditworthiness is about on a par with Aunt Minnie’s farting in church; nobody hears it and if they get a sniff they just look away.

  8. [...] Succinct Summation of Week’s Events (Big Picture) [...]

  9. VennData says:

    The total annual rate of return for the Standard & Poor’s 500 index (including dividends) during the decade that ended Feb. 28 was 8.24%

    http://finance.yahoo.com/blogs/michael-santoli/surprise-decent-decade-stocks-230239226.html