US Equity Markets posted their sixth consecutive week of gains last week, once again hitting new highs as optimism around a "Phase One" trade agreement between the US and China increases. The S&P 500 rallied 0.9% for the week to bring its gains for the year to 24.5%. The Nasdaq rose 0.8% for the week and is now up 28.7% for the year, while the Russell 2000 (small-cap stocks) sat out last week's rally, down 0.2% to reduce its gains for the year to 18.4%.
Returns for Global equity markets were more muted last week, as lukewarm economic data out of Europe that raised concerns about a slowdown dampened investor enthusiasm. Developed Markets eked out a 0.1% gain for the week to bring its gains for the year to 15.6%. Emerging Markets actually dropped 1.5% for the week to lower its gains for the year to 8.6%.
US Interest Rates declined last week following testimony by Federal Reserve Chairman Jerome Powell to Congress that reinforced the view that the Fed would continue to support the economy. The yield on the 10-Year US Treasury fell to 1.84% last week from 1.94% the prior week.
Of Interest to Us
Economic data continue to suggest that the US Consumer remains in good shape. Retail Sales for October bounced back from September, up 0.3% for the month, better than forecasts though slowing slightly from earlier in the year. At the same time, consumer inflation hovering around 2.0% remains relatively mild. In addition, the NFIB Small Business Optimism Index improved for October as talk of recession faded, with 8 of its 10 components increasing from September.
for the week ending 11/15/2019
If you have questions about the markets or would like to talk about your investments, please contact me at email@example.com or via phone at 704.940.3544.
Investors Trust Company helps its clients make sound financial decisions by providing strategic advice and asset management services with a high level of personalized attention. If we may help you or your clients with their investment management needs, please contact one of our Relationship Team members at firstname.lastname@example.org.