Succinct Summations week ending

Positives:

1. Dow Jones and S&P 500 both hit new all-time highs.
2. NFP saw 3 straight monthly increases for the first time in 3 years.
3. Europe’s Composite PMI Q1 is expected to grow 0.5%, the fastest pace since 2011 (Markit).
4. Dallas Fed manufacturing rose to 4.9, a six month high
5. Private sector NFP back above pre-recession levels.
6. Yellen says “economy needs extraordinary support for some time” Dow jumps 140 points
7. ISM service rose to 53.1 in March, just shy of expectations but up from 51.6 in February.
8. Italian 10-year yields drop to record 3.194%, Spain 5yr yields below US 5yy for first time since 2007.
9. March auto sales increased  9.7% y/o/y

Negatives:

1. Friday saw relentless dumping of high beta stocks, as Nasdaq 100 fell ~2.5%.
2.  ADP’s employment report showed private companies added 191k jobs, below the 195k expected.
3. Initial jobless claims rose to 326k last week, up from 310k the prior week and above 319k expected.
4. Chicago PMI came in at 55.9, below the 59.5 expected.
5. ECB leaves rates unchanged; deflation is becoming an increasingly bigger threat.
5. NFP came in at 192,000; economists had predicted a gain of 200k
7. Unemployment rate came in at 6.7%, still too many people looking for too few jobs.

 

Thanks, Batman

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 4.4.14”

  1. VennData says:

    AM Airwaves are filled with GOP doubts Obamacare hits enrollment goal with 7.1 million sign-ups

    http://www.cnn.com/2014/04/01/politics/obamacare-signups-target/

    But they believe that Cheney, Vincent van W. and The CIA were honest about their torture results.

    http://www.washingtonpost.com/world/national-security/senate-votes-to-release-cia-interrogation-report/2014/04/03/8ebc1b70-bb60-11e3-9a05-c739f29ccb08_story.html

    What is wrong with Republicans brains?

  2. chartist says:

    I want to add one negative on the Nikkei….The recent bear flag break was tested on the recent rebound to around 15000….I believe that the next move is 13000.

  3. jankynoname says:

    This was a great list… would love to see you do a refresh/update piece on it.
    http://www.ritholtz.com/blog/2008/08/bob-farrells-10-rules-for-investing/

  4. chartist says:

    Is anyone talking about that chart gap on FB down to $25?…That seems like a potential negative longer term.

  5. chartist says:

    Here’s the way I see it….The auto sector creates a lot of jobs in this country and the president needs the votes that that sector provides. So, finance rates are gonna stay low to either finance low or cash out of houses to buy a new car. It just doesn’t suit anyone to jack up short term rates….And if inflation looks like it might rise well they’ll change the way they measure it, much to the chagrin of TIPS owners.

  6. VennData says:

    Obama should pardon all illegal immigrants.

    I hope he does.

  7. sellstop says:

    Here is what popped into my tiny brain last week:

    What is the one thing that may have caused the huge growth the human race has experienced over the last 150 years?
    Fundamentally, it has to be hydrocarbon energy. Oil and gas.
    If that is the case then can we surmise that generations have become accustomed to “growth”. And have we not come to expect growth as a normal condition of economic health.
    In a fractional reserve banking system, as is in practice most of the world over it is economic activity, and growth, that enables the creation of money by the borrowing and lending.
    If the fundamental driver of growth is getting more expensive when measured in energy expended for energy recovered then the cost of energy must restrain growth. And a restraint of growth will restrain the economy and velocity of money which is the driver of money creation will be subdued.
    As it has been for years.
    And if the cost of energy rises for businesses depending on the consumption of energy, and most do,they will have less to spend on other aspects of the business. Namely, labor and materials.
    So, does it not follow that the effect of a real higher energy cost is deflation since the higher cost of energy slows growth and growth is essential to the printing of money in a fractional reserve system of economics? And hasn’t the world been fighting deflationary forces since oil peaked in the 1980s. Is this the “pushing on a string”?
    My question, and my thought, is that the human race will go to any length to continue “growth”, and will go to any lengths and to the ends of the earth to get the hydrocarbon fuels they have come to depend on for economic growth.
    Buy the explorers and the drillers.
    just thinkin’
    gh

  8. [...] A look back at the economic week that was.  (Bonddad Blog, Big Picture) [...]