You’re invited to our virtual Halftime Report

Eagle Wealth Management |
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Weekly Market Commentary

 

Hello Emily,

Can you believe this year is already half over?  The summer seems to be flying by.  The vacation floodgates have opened and calendars are filling up with plans.  But the financial markets haven’t taken a break and there’s plenty to talk about.

We invite you to join us for a live webinar presentation of our Halftime report.  We’ll revisit what’s happened so far in 2021 and what the second half of the year may bring.

You’re Invited — Live Webinar
Tuesday, August 3rd, 2021
2:00 pm PST

Register Now
 

Webinar Q & A
Please send questions for our speakers to info@myeaglewealth.com prior to July 30th and we’ll do our best to answer them during the webinar.
 
The Details
The webinar is accessed via the zoom.com website so there is no call-in number.  Audio and video will not be activated on your computer. Prior to the webinar, please test your system to ensure your computer is compatible.
 
Recording
Not available for the webinar?  Go to www.myeaglewealth.com/videos later that week to view the recorded version. 
Shred Day Success!
 

Thank you so much for joining us in the sun for Shred Day!  We’re so happy you were able to clear those file cabinets.   We had so much fun chatting over coffee and can’t wait to see you again soon.   


Did you know that one of the perks of being a member of the Eagle Wealth community is that you get admission to the High Desert Museum?  As corporate sponsors, our clients have access to complimentary passes.   

How it works:

  • Send us an email at info@myeaglewealth.com and we’ll reserve the pass for you.
  • Swing by the office to pick it up (don’t forget to grab a piece of candy while you’re here).

Right now, the featured exhibit is all about Bees!  Spend a day exploring In Time’s Hum: The Art and Science of Pollination.  

Not in the area?  Don’t miss the virtual exhibit options. 

 

The Week on Wall Street

Despite a good start to earnings season and some solid economic data, worries of slower second-half economic growth led to a pullback in stock prices last week.

The Dow Jones Industrial Average fell 0.52%, while the Standard & Poor’s 500 lost 0.97%. The Nasdaq Composite index sank 1.87% for the week. The MSCI EAFE index, which tracks developed overseas stock markets, was flat (-0.06%).1,2,3

 

Stocks Retreat

Stocks weakened amid an active week of news, including two important inflation reports, Congressional testimony from Fed Chair Jerome Powell, a string of economic reports, and the start of the second-quarter earnings season.

The earnings season began on a strong note as 95% of the first S&P 500 constituent companies to report checked in with “earnings above estimates” by an average of 22%. Despite these above-expectation earnings, stocks moved little on the results.4

Bond yields continued to trend lower amid Powell’s testimony that monetary policy would remain unchanged. A decline in consumer sentiment fed worries of economic slowdown, leading stock lower and cementing losses for the week.

 

Hot Inflation

The Consumer Price Index (CPI) jumped 5.4% in June, representing the biggest monthly gain since August 2008. The core CPI, which excludes food and energy, increased 4.5%, which was the fastest pace since September 1991.5

The CPI report was followed by the Producer Price Index, which surged 7.3% from a year earlier, outpacing May’s jump of 6.6%. Higher wholesale prices were primarily attributed to increased commodity prices and labor costs.6

Fed Chair Powell, in Congressional testimony subsequent to these reports, reiterated his position that the accelerated inflation of recent months will be temporary.

THE WEEK AHEAD:

KEY ECONOMIC DATA


Tuesday: Housing Starts.
Thursday: Jobless Claims. Existing Home Sales. Index of Leading Economic Indicators.
Friday: Purchasing Managers Index (PMI) Composite Flash.

 

Source: Econoday, July 16, 2021
The Econoday economic calendar lists upcoming U.S. economic data releases (including key economic indicators), Federal Reserve policy meetings, and speaking engagements of Federal Reserve officials. The content is developed from sources believed to be providing accurate information. The forecasts or forward-looking statements are based on assumptions and may not materialize. The forecasts also are subject to revision.

 

THE WEEK AHEAD:

COMPANIES REPORTING EARNINGS


Monday: International Business Machines (IBM), J.B. Hunt Transport Services, Inc. (JBHT), Prologis, Inc. (PLD).
Tuesday: Netflix (NFLX), HCA Healthcare (HCA), Chipotle Mexican Grill, Inc. (CMG).
Wednesday: Verizon (VZ), Johnson & Johnson (JNJ), The Coca-Cola Company (KO), United Airlines (UAL), Texas Instruments, Inc. (TXN), CSX Corporation (CSX), Novartis, AG (NVS).
Thursday:  AT&T (T), Intel Corporation (INTC), Twitter, Inc. (TWTR), Snap, Inc. (SNAP), Abbott Laboratories (ABT), American Airlines (AAL), Southwest Airlines (LUV), Union Pacific (UNP), FreeportMcMoran (FCX), D.R. Horton, Inc. (DHI).
Friday:  American Express (AXP), Honeywell International (HON), NextEra Energy (NEE), KimberlyClark Corporation (KMB).

Source: Zacks, July 16, 2021
Companies mentioned are for informational purposes only. It should not be considered a solicitation for the purchase or sale of the securities. Investing involves risks, and investment decisions should be based on your own goals, time horizon, and tolerance for risk. The return and principal value of investments will fluctuate as market conditions change. When sold, investments may be worth more or less than their original cost. Companies may reschedule when they report earnings without notice.