S&P500 +1.58%(2,500.23); NASDAQ +1.39% (6,448.47); DJIA +2.16% (22,268.34)
This week’s reports:
- August’s CPI rose 1.9% y/y versus July’s +1.7% y/y. CPI ex Food and Energy rose 1.7% y/y, the same as in July.
- August’s Retail Sales fell 0.2% from July’s +0.3%. Retail Sales ex Autos rose 0.2% from July’s +0.4%.
- September’s Michigan Consumer Sentiment Index (prelim.) fell to 95.3 from August’s 96.8.
- September’s NY Empire State Manufacturing Index fell to 24.4 from August’s 25.2.
- August’s Industrial Production fell 0.9% from July’s +0.4%. Capacity Utilization fell to 76.1 from July’s 76.9.
- July’s Business Inventories rose 0.2% from June’s +0.5%.
- Initial Jobless Claims for the week ending September 8th fell by 14K to 284K. Continuing Jobless Claims for the week ending September 1st fell by 7K to 1,944K.
- US stocks capped the best week since January, with the S&P 500 Index climbing above 2,500 for the first time, as investors shrugged off the latest rise in tensions on the Korean peninsula and a terrorist attack in London. Shares were supported by a decline in expectations for a rate increase after a string of weaker than expected economic data.
- Stock market gains came along with news that US congressional Republicans plan to release the outline of a tax reform plan later this month. The possibility of tax cuts or tax reform could improve prospects for growth in 2018 and beyond, supporting elevated stock market valuations.