What happened last week…
The three major indices each finished the week in the red with performances as follows: DJIA (-1.24%), S&P 500 (-2.08%), NASDAQ (-3.15%). All three indices remain positive on the month: DJIA (4.03%), S&P 500 (2.89%), NASDAQ (3.22%).
In a speech to business leaders, Federal Reserve Chairman Jerome Powell said, “The economy is not sending any signals that we need to be in a hurry to lower rates. The strength we are currently seeing in the economy gives us the ability to approach our decisions carefully.” Powell praised the U.S. economy and remarked, “The recent performance of our economy has been remarkably good, by far the best of any major economy in the world.” The week prior, the Fed lowered interest rates by 25 basis points to a new range of 4.50% to 4.75%. The final meeting of the year takes place on December 17-18.
AbbVie (ABBV) announced that the results from two Phase 2 trials of its experimental schizophrenia drug “did not meet their primary endpoint of showing a statistically significant reduction (improvement)” compared to the placebo group.
The inflation rate year-over-year for October matched expectations as it increased to 2.6% from 2.4%, which was the lowest reading since February 2021. The current reading snaps a streak of six straight monthly declines. The rate peaked at 9.1% in June 2022. The core inflation rate year-over-year for October also matched expectations as it remained at 3.3%. The prior reading was the first monthly increase since March 2023.
According to FactSet, as of November 15, for Q3 2024, 93% of S&P 500 companies have reported earnings with 75% having a positive EPS surprise and 61% having a positive revenue surprise. The blendedearnings growth for the S&P 500 is 5.4%, which would be the fifth straight quarter of growth. The blended revenuegrowth for the index is 5.5%, which would be the 16th straight quarter of growth.
This week…
The following companies report earnings this week: LOW, WMT, NVDA, PANW, TGT, INTU.
On Thursday, existing home sales for October are expected to increase to 3.88 million from 3.84 million, which was the lowest reading since October 2010 (3.83 million).
Thanks for Reading!
- The Rockline Team
Rockline Wealth Management (RWM) is a registered investment adviser located in Plainview, NY. RWM is registered with the U.S. Securities and Exchange Commission. Registration of an investment adviser does not imply any specific level of skill or training and does not constitute an endorsement of the firm by the Commission.
The information presented above is for informational purposes only and believed to be factual and up-to-date, but we do not guarantee its accuracy and it should not be regarded as a complete analysis of the subjects discussed.