For this week’s Weekly Economic and Stock Market Commentary, believe it or not, the Nasdaq Composite fell for the week, while the other market averages gained. The international markets had a huge increase last week, up nearly 5 percentage points. Despite their gains, they continue to lag the US markets by substantial amounts.
News of promising coronavirus vaccine development moved the market averages up (except the Nasdaq Composite) last week.
A strange thing was the stock price of the company with the big news last week barely moved. In fact, it’s CEO sold a tremendous amount of company stock almost simultaneously with the vaccine announcement.
I don’t have much to say this week, so I will end the market commentary section by saying the market did not have a case of triskaidekaphobia last Friday.
It was a great week for the bullish percent indicators. All of them are in WEALTH ACCUMULATION MODE.
Remember, Xs mean OFFENSE or wealth accumulation, while Os mean DEFENSE, or wealth preservation.
Below is where our indicators stand as of November 13, 2020 (Courtesy Dorsey, Wright, and Associates).
On a general note:
Last week, the Department of Labor announced inflation news for October. The Bureau of Labor Statistics announced the Consumer Price Index for October was unchanged. The consensus estimate of economists called for a change of 0.1%. The change from October 2019 was 1.2%, while the September to September change was 1.4%. The core rate of inflation also was unchanged, and is 1.6% since October 2019.
When it comes to the Producer Price Index, they rose 0.3% during October. Economists anticipated a rise of 0.2% for the month. The good news is that Producer Prices rose by 0.5% during the past 12 months.
Securities offered through LPL Financial, Member of FINRA/SIPC. Investment advice offered through IBEX Wealth Advisors, a registered investment advisor. IBEX Wealth Advisors and Philip Rongo Wealth Management are separate entities from LPL Financial..
The LPL Financial Registered Representatives associated with this site may only discuss and/or transact securities business with residents of the following states: CA, CT, DE, FL, GA, IL, IN, MA, MD, MT, NC, NJ, NY, OH, PA, SC, TX, VA, VT, WY.