Nasdaq Composite closed up 1.06% or $220 billion for the week; the S&P 500 rose .85%, $115 billion. Markets are said to “climb a wall of worry,” this time is no different. Have a great weekend, spend a little extra, and give back! #digitaladvisor 1db.com
Dow Theory is a century-old stock-market supposition that has been used to forecast the stock market’s directional trend. Dow Theory assumes for an upwardly bias/economic tendency to continue, and be confirmed, both the Dow Jones Industrial Average (DJI) and Dow Jones Transportation Average (DJT) should be moving in the same direction.
Assumably, if the DJI rises, so should the DJT, and vice versa. Preferably, when the industrials set an all-time-high, transports should follow suit. Theorists believe that as long as both indices rise and fall together, the economic trend will respond accordingly. Today, the Dow Jones Industrials is at record levels, while the Dow Transports set there record high back in September 2018. Interestingly, as of this post, Transports have risen 7.3% in Q4, versus 3.2% for the Industrials. 1db.com/disclosures/ hashtag#digitaladvisor
The S&P 500 completed its fourth trading session for the month of November near record levels. Since this bull market began back in 2009, November has been frequently profitable for shareholders. Notably, the index has already reached its monthly 1.3% average gain for the entire month. 5.7% was the biggest move back in ’09; the smallest return was in ’11 at -.5%. During this time span, the S&P has posted gains in the month of November 8 of 10 years. 1db.com/disclosures/ #digitaladvisor
America added 128,000 new hires to the workforce in October, 39k more than economists’ estimates. Stocks are rallying on the report, why? At closer inspection, the real nugget of information appears to be in the revisions (upward) for August and September; both numbers were noticeably above their 12-month average. Recession? invest.1db.com/bls1019hashtag#digitaladvisor
Stocks soared to all-time highs (ATH) on the Fed’s quarter-point interest rate cut. The S&P 500 closed at 3046.77, setting its 15th ATH of the year. Since this bull market began back on March 3, 2009, the S&P 500 has closed 222 times at record levels. @1DB
55% of Americans are reported to be invested in the stock market according to robo.1db.com/Gallup. The S&P chart shows the stock market advancement and daily volatility. Volatility has averaged .989% each trading session from its intraday high and low points. The question, has the market presented optimal times to invest over this bull run or is it all really just random? 1db.com #RoboAdvisor 1db.com
How big of a deal is the trade squabble between the United States and China? Over the past 20 years, the global Gross Domestic Product has risen from $32 trillion to over $86 trillion, which is a 5% compounded annual rate (CAGR). During this timeframe, China’s GDP grew from $1.1 trillion to $13.6 trillion. The U.S. leads the world in GDP output at $21 trillion. China’s GDP has increased by CAGR of 13%, compared to the U.S. at 4%. The total population for the U.S. is approximately 329 million; China’s population is 1.4 billion, ranking #1 in the world, according to World Meters.
National Home Prices rose 3.2% year-over-year, according to S&P/Case-Shiller. Atlanta, Boston, and Miami led metro area price appreciation at 4.0%, 3.9%, and 3.9%, respectively. While Los Angeles, New York, and San Franciso trailed the national average by single digits, but still rose 1.1%, 0.9%, and 0.2%. Census Bureau tabulates occupied housing units at 122.5 million. The median sales price of existing homes is $278 thousand. Accordingly, home price values rose over $1 trillion the past 12 months. robo.1db.com/HomePrices
According to the BLS inflation measured by the Consumer Price Index increased modestly 1.7% last year. However, for those of us that bills to pay each month some of the items after adjusting for inflation have risen far more than 1.7%. The cost of health insurance rose 10x that amount. How about household repair expenses that often creep up? Men’s suits? The cost of tariffs is showing up in likely places. invest.1db.com/cpi819 — 1db.com