Market Update: Wednesday, October 24, 2018

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Daily Insights

  • LPL Market Signals Podcast. In the latest episode of the Market Signals Podcast, listen to Equity Strategist & Portfolio Manager Jeff Buchbinder and Chief Investment Strategist John Lynch discuss the signs pointing to Q3 economic growth and into 2019. Market Signals by LPL Financial is now available on iTunes, Google Play and Spotify. Please join our discussion on social via #LPLMarketSignals.

  • Trade uncertainty weighing on Eurozone. With earnings season in full swing and geopolitics garnering a lot of attention, investors are also chewing on Markit Purchasing Managers’ Index data out of the U.S., Eurozone, Germany, and France this morning. U.S. data are due out later this morning, but most of the European figures released earlier came in below analysts’ expectations. Manufacturing activity in the Eurozone marked a 26-month low, while services activity registered a 24-month low. A slowdown in exports, as well as a decline in the pace of new manufacturing orders amid a backdrop of rising price pressures suggests the 19-country region will continue to find meaningful growth elusive and may put the European Central Bank in a bind going into 2019 as it looks to tighten monetary policy, all of which support our cautious view on Europe and preference for emerging markets and U.S. equities.

  • LPL Research on Yahoo! Finance. Senior Market Strategist Ryan Detrick was on Yahoo! Finance’s The Final Round recently to discuss market volatility, October, midterms, and more. You can watch the interview here.

  • Third-quarter GDP. Investors’ first look at third-quarter gross domestic product (GDP) will be released on Friday, and the consensus points to another quarter of moderate to strong gains in output. The U.S economy has been on solid footing for a while, but the underlying detail provides a rough guide to how certain factors have impacted growth. On the LPL Research blog today, we’ll highlight what we’ll be watching for in the GDP release, and what we think were the biggest drivers of last quarter’s output.

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Click Here for our detailed Weekly Economic Calendar

Wednesday

  • Markit PMI — Manufacturing (Preliminary, Oct)
  • Markit PMI — Services (Preliminary, Oct)
  • New Home Sales (MoM, Sep)
  • Federal Reserve’s Beige Book (N/A)
  • Japan Leading Index (Aug)
  • Japan PPI Report (Sep)

Thursday

Friday

  • GDP Report (QoQ, 3Q)
  • Core PCE (QoQ, 3Q)


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