December 2, 2019

The Week On Wall Street

As November wrapped up, U.S. equity benchmarks advanced. Stocks were again aided by a sense of optimism that a preliminary U.S.-China trade deal could be near.

For the week, the Nasdaq Composite added 1.87%; the S&P 500, 1.21%; the Dow Jones Industrial Average, 1.03%. The MSCI EAFE index, which measures the performance of developed stock markets outside North America, gained 0.89%.1,2

Markets Wait For News Of A Trade Pact

Wednesday, a senior White House official told Politico that the U.S. was “millimeters away” from a phase-one trade agreement with China, a deal that might involve the removal of certain tariffs.

Still, friction remains within the Sino-American relationship. Last week, President Trump signed two bills into law backing pro-democracy demonstrators in Hong Kong. China’s Ministry of Foreign Affairs quickly reacted, stating that American lawmakers had “sinister intentions” and adding that China would take “strong counter-measures” in return.3,4 

The Latest On Consumer Spending And Consumer Confidence

Personal spending was up 0.3% in October, according to the Department of Commerce. This happened even with no gain in household incomes.

The Conference Board said that its Consumer Confidence Index came in at 125.5 for November. Even though it has declined for four straight months, the index remains well above levels seen during the first half of the decade.5,6

The Week Ahead: Key Economic Data

  • Monday: The Institute for Supply Management provides its latest monthly index of U.S. manufacturing activity (November).
  • Wednesday: The ISM presents its November Non-Manufacturing Index, and Automatic Data Processing (ADP) publishes its November payrolls report.
  • Friday: November hiring data arrives from the Department of Labor, and the University of Michigan’s preliminary December Consumer Sentiment Index appears.

The Week Ahead: Companies Reporting Earnings

  • Tuesday: Salesforce (CRM), Workday (WDAY)
  • Wednesday: RBC (RY)
  • Thursday: Dollar General (DG), TD Bank (TD)
Market Index Close Nov 29 Week % YTD %
DJIA 28,051.41 +1.03 +20.25
NASDAQ 8,665.47 +1.87 +30.60
S&P 500 3,140.98 +1.21 +25.30
Treasury Close Nov 29  Week % YTD %
10 Year Note 1.78% +0.01 -0.91

Sources: wsj.com, treasury.gov – 11/29/19
Indices are unmanaged, do not incur fees or expenses, and cannot be invested into directly. These returns do not include dividends. Weekly and year-to-date market index returns are expressed as percentages. 10-year Treasury note yield = projected return on investment, expressed as a percentage, on the U.S. government’s 10-year bond. Weekly and year-to-date 10-year Treasury note yield differences are expressed in basis points.

Weekly Tip

In business travel, a little thriftiness is a plus.

Plan your business trips as if you are paying for them out of pocket.