WEEKLY CAPITAL MARKET HIGHLIGHTS:
- Domestic equities remained positive for the week, with tech stocks leading the charge. Indian equities also enjoyed a healthy rally, as did Emerging Market Latin America. European markets had mixed results, with France, Germany, the UK, and Russia slightly positive, whereas Italy, Spain, and Greece turned negative. The broader emerging markets space also was positive for the week.
- The yield on the 10-Year US Treasury Note closed roughly in line with the week’s opening yield of 2.834%, as world markets wait to see how China will react to the most recent wave of tariffs proposed by the Trump Administration.
- The US dollar strengthened over the course of the week. A down-tick in jobless claims to the lowest level since early May continued the strengthening economy narrative.
- Commodities were mostly lower for the week, with oil and grains being the largest drags. Precious metals were mostly positive, but gold ended the week at a slight loss.
- In other economic news the Producer Price Index rose 0.3% in June, and 3.4% for the 12 months ended in June, the largest 12-month increase since climbing 3.7% in November 2011; Crude Inventories plunged by 12.6 million barrels during the week of July 6 to 405.2 million, 18.2% below their level a year ago; the Consumer Price Index (CPI) edged only 0.1% higher overall in June, and the Core CPI (ex food and energy) was up 0.2% ; Consumer Sentiment is easing back so far this month to 97.1, which is down 1.1 points from June.
Click here to download the complete weekly report: EWMWeeklyReview 7.13.18