The economic calendar is normal, but there are plenty of cross-currents from other major events. Bitcoin futures, the FOMC meeting, more debate on the tax legislation, the Alabama special Senate election, and an avalanche of 2018 forecasts.
The economic calendar includes few reports, crammed into two days of a holiday-shortened week. Many will be taking time off – including some of the “A List” pundits. I expect to see some new faces on financial television and a lot of discussion about consumers and the economy. Many will be asking: What does Black Friday mean for the economy, and for stocks?
The economic calendar includes many reports, but few of the most important. I expect the housing market to attract attention. There are several relevant releases on tap, and the sector is especially important. Some will take up a special slant, asking: Will Millennial buyers extend the housing market rebound?
In the past, investing according to your values, or anything other than financial fundamentals, was seen as a potential detriment to performance. Over time, however, investors have learned that non-financial metrics can help them better understand the risks a company faces, and may even impact that company’s stock price.
Last week I wrote that there was so much on the calendar that it was impossible to choose a single theme. This week presents the opposite problem. In the wake of the big news, what will command attention? As I studied the data, I was struck by the confluence of record results.
There is so much on the calendar next week that it is impossible to choose a single theme. The economic calendar includes all the major reports. It is still the heart of earnings season. Announcements are expected about a new Fed Chair (and perhaps other appointments), the tax reform proposal, and Special Counsel Mueller’s first indictment.
Actively managed front-end strategies may be able to mitigate the erosion of real capital experienced in passive benchmarks as rates rise.
With a light economic calendar, there is plenty of air time for pundit pontification. The record-setting market still has many shaking their heads. Many, after noting the many world problems, are asking: Where is the fear?
After last week’s avalanche of economic data, the calendar is back to normal. More important is the onset of earnings season. Recent data have reassured many observers about the health of the U.S. economy. The period of seasonal weakness is ending. Expect people to be asking: Can this earnings season lead to a big year-end rally?
It is a big week for economic data. The punditry will be analyzing the Trump tax proposal. Everyone will be drawing conclusions about how these factors may be linked with stock prices. Expect people to be asking: Does economic strength equal stock market strength?