DAILY INSIGHTS
Stocks opened lower. Stocks are down slightly this morning as investors weigh progress toward reopening economies and stimulus packages versus escalating US-China tensions and unrest in many US cities. Overnight the MSCI Asia Pacific Index climbed 1.6%, while the Stoxx 600 Index in Europe is solidly higher in midday trading. Continue reading
Market Blog
Index Performance – Week ending 5/29/2020
S&P 500 Index: 2.97%
Dow Jones Industrial Average: 3.74%
Nasdaq Composite: 1.77%
Market Blog
On Wednesday, the S&P 500 Index closed above its 200-day moving average for the first time since March 4. While that move marks an important milestone for an index that has rebounded more than 35% from its March 23 low, we believe market internals may paint an even more promising picture for future stock returns. Continue reading
DAILY INSIGHTS
LPL Research on Yahoo! Finance. LPL Financial Senior Market Strategist Ryan Detrick joined Yahoo! Finance Thursday to discuss the current trends and events impacting markets around the globe. Watch the full interview. Continue reading
Economic Blog
Despite the gradual reopening of the economy in several states, sentiment on Main Street remains suppressed, as the effects of COVID-19 appear to be keeping a lid on American optimism in the most recent Federal Reserve (Fed) Beige Book. Continue reading
DAILY INSIGHTS
Stocks opened slightly higher. Amid increasing skepticism about whether the rally is justified, today the S&P 500 Index will try to add to Wednesday’s strong gains that propelled it over its 200-day moving average for the first time since March and above the psychologically important 3,000 level. Continue reading
Market Blog
The S&P 500 Index flirted with closing above 3,000 yesterday, even as much of the economic data is some of the worst we’ve ever seen in our lifetimes. We are often asked how this is possible. The reality is the double backstop of historic fiscal and monetary policy combined with optimism over a potential vaccine coming before the end of 2020 has created a surge of market confidence, leading to a massive equity rally. Continue reading
DAILY INSIGHTS
Stocks displaying strength. The S&P 500 Index opened above the 3,000 level, as equities around the world continued to rally on reopening optimism. Fiscal stimulus is in the air as well, as the European Commission is reportedly set to propose a 750 billion euro recovery package, while Japan is finishing a $1.1 trillion stimulus package. Tensions between the United States and China remain heightened, but contained new cases of COVID-19 are helping offset those worries. Continue reading
Economic Blog
The Federal Reserve (Fed) increased its bond exchange-traded funds (ETF) purchases in the week ending May 20 (the most recent data available), adding another $1.5 billion in bond ETFs to its balance sheet, bringing the total holding to $1.8 billion. With Fed purchases accelerating, the average investment-grade corporate bond spread dipped below 2% last week for the first time since March 11. (Credit spreads reflect market participants’ perception of credit risk.) As shown in the LPL Chart of the Day, spreads had been largely flat for about a month following the initial declines off 2020 peaks despite stock market gains, but Fed buying may have been a catalyst for further compression. Continue reading
DAILY INSIGHTS
Markets higher after holiday. Following the big gains in US equities last week, the S&P 500 Index opened above the 3000 level for the first time since early March. Asian and European markets fared better as well, with Japan a standout. Moreover, WTI crude prices are higher after a solid four-week showing. Meanwhile markets remain supported by signs of recovery as more of the US economy reopens Continue reading