Jun 282014
 
  • US Q1 GDP was revised to show contraction of -2.9% on annual basis, down from previous announcement of -1.0%.
  • US New Home Sales came in very strong and much higher than consensus expectations
  • US Durable Orders declined -1.0% in May, vs. expectations of 0.4% growth
  • HSBC China Flash PMI for June was 50.8, higher at than expectations of 49.7 and prior reading of 49.4
  • Japan Markit PMI was also better than expected
  • Argentina Q1 GDP showed decline of -0.2% YoY
Jun 212014
 
  • US manufacturing activity indicators like Empire Manufacturing, Philly Fed, and Industrial Production – all came in higher than expectations
  • US inflation (CPI) came in higher than expected as it grew 0.4% vs. expectations of 0.2%
  • ZEW Index, a gauge of current conditions index in Germany, came in higher than expectations
  • UK Retail sales declined slightly, but it was in line with expectations
  • Canada Retail sales grew a robust 5.1% YoY, higher than economists’ expectations
Jun 142014
 
  • Canada Housing Starts rise, coming in at 198K vs. expectations of 185K and better than prior reading of 195K
  • UK Industrial Production rose 3.0% Y/Y, higher than expectations of 2.8%
  • US Job Openings (JOLTS) report came in better than expected
  • However, US Retail Sales data was worse than expected, showing growth of 0.3%, lower than expectations of 0.7%
  • US Michigan Sentiment also dipped slightly, showing reading of 81.2, lower than expectations of 82.9
  • Additionally, geo-political concerns grew, largely due to worsening situation in Iraq
Jun 092014
 

While it may seem that US stocks are having a great year, this is only limited to the high market cap stocks. As the charts below (from Charlie Bilello, Pension Partners) show,  Russell 3,000 stocks ranked below 1,500 in terms of market cap have negative YTD performance, and those ranked below 500 are in negative territory since March 4th.

Source: Pension Partners (http://pensionpartners.com/blog/?p=360)

Jun 072014
 
  • ECB announces monetary stimulus including rate cuts. In a major step, it announced negative rates (-0.10%) for overnight bank deposits – meaning that it will start charging banks for parking their money at ECB.
  • Bank of England held its interest rates at 0.5%
  • Bank of Canada also kept its rates unchanged – at 1.0%
  • China Manufacturing PMI increased to 50.8 from 50.4 in April, and also slightly higher than 50.6 forecasted by economists
  • US Factory Orders in April grew 0.7%, higher than expectations of 0.5%. But Construction spending grew only 0.2%, vs. forecasts of 0.7%.
  • US added 217K Nonfarm Payroll jobs, close to expectations. This was a major marker as now the economy had reclaimed all the jobs lost in the recession.
  • Indian shares continued their optimism rally on hopes of policy reforms as well as ECB easing