Last week, all major global stock indexes posted positive gains over four trading days, with the Dow Jones leading the way at 1.29 percent. Consumer sentiment rose to 61.3 but remains pessimistic. Minutes from the FOMC meeting in November supported the market’s expectations that the Federal Reserve is done raising rates. The Committee shifted to a cautious tone regarding rates, with all participants agreeing that they were in a position to proceed carefully.
This week, new home sales of 679,000 were below the expected 720,000. On Thursday, the Personal Income and Expenditures reports are anticipated to show income remaining nearly flat month-over-month, with spending down to 0.20 percent. Last week, we discussed Walmart’s unexpected drop in consumer spending towards the end of Q3. Lower consumer spending leads to decreased demand, potentially resulting in continued lower inflation.
Thank you for reading!
Follow us on Facebook for these weekly updates at Unify Financial Advisors Facebook Page.