- US equities seesawed during the week, affected by the impeachment proceedings and the announcement of a”phase one” trade deal with China. The S&P 500 Index ended the week slightly higher. European equities fared better, posting gains of over 1% for the week. UK stocks surged by over 1.5% on Friday after the landslide victory for the Tories. Emerging markets equities were the bright spot of the week, up by almost 3%.
- Treasury yields increased most of the week but fell on Friday after the announcement of the partial trade deal with China. The yield on the 10-year note fell below 1.83%.
- Commodity prices floated higher, sustained by strength in energy prices. Gold also soared during the week after the Fed decision to leave rates unchanged and the trade deal announcement on Friday.
- US retail sales rose less than expected in November, posting a gain of only 0.2%, after increasing 0.4% in October.
- US consumer prices increased more than expected in November, posting a gain of 0.3%. The number was affected by increased gasoline costs. US producer prices however were unchanged in November, with declining costs of services offsetting the increases in food and gasoline prices.
- US Weekly jobless claims surged to 252,000 for the week ending December 7, the highest reading since September 2017. The period following the Thanksgiving Day holiday is notoriously volatile however, which means that the high jobless numbers does not necessarily signal an increase in layoffs.
Click here to download the complete weekly report: EWMWeeklyReview 12.16.19
Disclosure: Past performance is not necessarily indicative of future results.