Weekly Economic Summary - 8/20/2018Submitted by Miller Financial Group, LLC on August 20th, 2018
US stocks finished with back-to-back positive sessions last week which ultimately pushed the Dow and S&P500 into the green after a turbulent start to the week. Concerns over an economic and currency crisis in Turkey had investors on edge most of the week, but fears subsided Thursday as news came that the US and China had scheduled renewed trade talks.
With earnings season winding down, it’s clear that geopolitical events are back in the headlines and present a challenge for investors in the near term. Long term, however, there’s support for rising stock prices as economic improvement and double-digit earnings growth look poised to drive us into the back half of the year.
It’s a light economic calendar this week, with no data points released until Wednesday. We’ll hear from the Federal Open Market Committee (FOMC) on Wednesday as the policy setting group releases their most recent meeting minutes then. Investors are always curious to dig in to clues from the FOMC in regards to upcoming rate hikes and general outlook for central bank policy. Reports on existing home sales, new home sales, and durable goods orders will round out the week.
It looks to be a quiet week on the earnings front as well. Reports from several retailers including Target, Ross Stores, Kohl’s, and Lowe’s will round out an impressive earnings quarter.
Markets at home and abroad are steadily climbing today in hopeful anticipation of this week’s trade talks between the U.S. and China. Treasury yields are lower today, while gold and oil prices are higher.
We hope you have a great week!