Please enter the email address associated with your account below and a temporary password will be emailed to you. The year-over-year gain was small in October, and I expect the year-over-year increases to be lower over the last two months of 2015 compared to earlier this year – but the overall year-over-year gain should be solid in 2015. Real PCE – PCE adjusted to remove price changes – increased 0.1 percent in October, the same increase as in September… The price index for PCE increased 0.1 percent in October, in contrast to a decrease of 0.1 percent in September. The following graph shows real Personal Consumption Expenditures (PCE) through October 2015 (2009 dollars). The Shanghai Composite has soared 11% so far in October after its dramatic 34% plunge between June and September.
In nominal terms, the Case-Shiller National index (SA) is back to August 2005 levels, and the Case-Shiller Composite 20 Index (SA) is back to February 2005 levels, and the CoreLogic index (NSA) is back to June 2005. In real terms, the National index is back to September 2003 levels, the Composite 20 index is back to May 2003, and the CoreLogic index back to January 2004. Mohamed El-Erian, arguably the master of market metaphors, had a good one this week.
Business investment – 26 Nov 15. New business spending on buildings and equipment fell by 9.2 per cent in the September quarter – the largest quarterly fall on record and the fifth consecutive quarterly decline. The key question, of course, is when China will be able to say that it has ‘stopped the rot’ in terms of slowing economic momentum,” wrote David Kelly, chief global strategist with JPMorgan Funds, in a report Monday. It’s widely expected that China’s government and central bank will do more to keep the economy and stock market from slowing much further. That daily gain took China’s stock market rise from its August lows to over +25%.
And a weak jobs report in the U.S. earlier this month has some investors thinking that the Federal Reserve could now hold off on a rate hike until next spring. We continue to see three major headwinds: excess capacity in many industries, oversupply in the housing market, and high debt burdens,” the economists wrote in a report Monday. And the world’s most valuable company, Apple, has lagged the broader market this month partly due to concerns about iPhone demand in China. Central Banks in other locations must both heave a sigh of relief at this China market confidence — and wait belatedly for signs of China’s next panic sell-off.
For a U.S. health stock to buy, look into Cardinal Health ( CAH – Analyst Report ). It reached a Zacks #1 Rank recently and carries a Zacks A for Value. A U.S. consumer stock looking strong is Cracker Barrel ( CBRL – Snapshot Report ). The stock has a Zacks #1 Rank, and Zacks A for Growth and A for Value. Another pharma stock abroad I like is Novo-Nordisk AS ( NVO – Analyst Report ). This stock is a Zacks #2 Rank now. The stock also carries a Zacks Growth rating of A and a momentum rating of A. The Zacks Value rating is C. Silver has even more shine besting gold’s run when compared to August averages.