Forte Capitals Selected Statistics.
Industrial production was down 0.9% in August, the first decline in seven months and the largest loss since April 2009. The weakness was broad based, with all three major components (manufacturing, mining, and utilities) posting losses for the month. The reason for the downslide is Hurricane Harvey, which created significant disruption as it made landfall in Texas. Both utilities and oil drilling activities suffered in the last week of August, and the devastating impact of the flooding will be felt for months to come in the utilities segment Similar weakness is likely to be seen in the September data due to the damage from Hurricane Irma. Natural disasters aside, both domestic and global demand fundamentals are favorable and will help U.S. industrial production to trend higher.
GDP data suggests that the U.S. economy is growing at a steady pace, and economic prospects through the remainder of the year and next year are good. Stronger growth in the second guarter offset a weak first quarter and confirmed the view of steady, near-2% growth through much of the recovery from the Great Recession, which is now the third-longest expansion on record. The economy's current growth is broad based, as is clear from both second quarter GDP gains and widespread job creation. Especially encouraging is that, for the first time during this eight-year expansion, there are no serious impediments to growth, as consumers are benefiting from the strong job market, their balance sheets are healthy, and credit has loosened up some.
Caption: Industrial Production
The information herein was obtained from various sources believed to be accurate; however, Forte Capital does not guarantee its accuracy or completeness. This report was prepared for general information purposes only. Neither the information nor any opinion expressed constitutes an offer to buy or sell any securities, options, or futures contracts. Forte Capital's Proprietary Market Risk Barometer is a summary of 30 indicators and is copyrighted by Forte Capital LLC. For further information, visit www.fortecaptial.com, send a message to firstname.lastname@example.org, or call 866-586-8100 and ask for David W. Henion, CPA, or Larry H. Rabinowitz, CPA/PFS.
U.S. & World Equity Indexes 8/31/17 YTD Return S&P 500 2,472 10.40% Dow Jones Industrials 21,948 11.10% NASDAQ Composite 6,429 19.40% Shanghai Composite (China) 3,361 8.30% S&P BSE Sensex (India) 31,730 19.20% Nikkei Stock Avg (Japan) 19,646 2.80% CAC 40 [France) 5,086 4.60% DAX (Germany) 12,056 5.00% FTSE 100 (U.K.) 7,431 4.00% Selected Interest Rates 8/31/17 7/31/17 15-Year Mortgage 3.12% 3.20% 30-Year Mortgage 3.82% 3.92% 5-Year Treasury Bond 1.70% 1.84% 10-Year Treasury Bond 2.12% 2.30% 30-Year Treasury Bond 2.73% 2.89% Most Prior Key Economic Statistics Recent Month National Producer Price Index 0.20% -0.10% Consumer Price Index 0.40% 0.00% Unemployment Rate 4.40% 4.30% ISM Manufacturing Index 58.80 56.30 ISM Services Index 55.30 53.90 Change in Non-Farm Payroll Emp. 156,000 209,000 New York State Consumer Price Index--NY, NJ, CT 0.20% -0.20% Unemployment Rate 4.80% 4.70% NYS Index of Coincident Indicators 3.10% 3.20% Forte Capital's Proprietary Market Risk Barometer Market Valuation Monetary Environment Investor Psychology Internal Market Technicals Overall Short-Term Outlook Overall Long-Term Outlook Equity Market Statistics 8/31/17 7/31/17 Dow Jones Industrials Dividend Yield 2.38% 2.39% Price/Earnings (12 Mth Trailing! 19.64 20.55 Price/Earnings [Projected] 18.19 18.23 S&P 500 Index 8/31/17 7/31/17 Dividend Yield 2.01% 2.01% Price/Earnings (12 Mth Trailing) 23.56 23.56 Price/Earnings (Projected) 18.06 18.04
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|Title Annotation:||ECONOMIC & MARKET DATA: monthly update|
|Publication:||The CPA Journal|
|Date:||Oct 1, 2017|
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