Monthly Archives: May 2018

Market Week: May 29, 2018

The Markets (as of market close May 25, 2018)

Domestic indexes rose last week despite sinking energy stocks and ongoing geopolitical uncertainties. Oil prices plunged, pulling energy shares down following indications that OPEC was planning to increase production. President Trump’s cancellation of the summit with North Korea coincided with a sharp drop in stocks earlier in the week. Uncertainty over the course of trade negotiations between the United States and China may have added to a lukewarm response to equities from investors. In any case, the large caps of the S&P 500 and the Dow posted marginal gains. The Nasdaq recorded the largest weekly gains, while continuing to lead the year-to-date tally.

The price of crude oil (WTI) fell for the first time in several weeks, closing at $67.50 per barrel, down from the prior week’s closing price of $71.40 per barrel. The price of gold (COMEX) increased to $1,306.50 by early Friday evening, up from the prior week’s price of $1,292.50. The national average retail regular gasoline price increased to $2.923 per gallon on May 21, 2018, $0.050 higher than the prior week’s price and $0.524 more than a year ago.

Market/Index 2017 Close Prior Week As of 5/25 Weekly Change YTD Change
DJIA 24719.22 24715.09 24753.09 0.15% 0.14%
Nasdaq 6903.39 7354.34 7433.85 1.08% 7.68%
S&P 500 2673.61 2712.97 2721.33 0.31% 1.78%
Russell 2000 1535.51 1626.63 1626.93 0.02% 5.95%
Global Dow 3085.41 3086.05 3047.11 -1.26% -1.24%
Fed. Funds target rate 1.25%-1.50% 1.50%-1.75% 1.50%-1.75% 0 bps 25 bps
10-year Treasuries 2.41% 3.05% 2.92% -13 bps 51 bps

Chart reflects price changes, not total return. Because it does not include dividends or splits, it should not be used to benchmark performance of specific investments.

Last Week’s Economic Headlines

·         New home sales fell 1.5% in April from a downwardly revised March total. Inventory of available new homes for sale increased slightly from 5.3 months to 5.4 months. The median sales price of new houses sold in April 2018 was $312,400 ($335,400 in March). The average sales price was $407,300 ($366,000 in March).

·         Sales of existing homes, like new home sales, fell in April. Total existing-home sales of all residential types fell 2.5% for the month and are 1.4% below their pace a year ago. A lack of available listings continues to hinder existing home sales. Total housing inventory at the end of April increased 9.8% to 1.80 million existing homes available for sale, but is still 6.3% lower than a year ago (1.92 million) and has fallen year-over-year for 35 consecutive months. Unsold inventory is at a 4.0-month supply at the current sales pace (4.2 months a year ago). The median existing-home price for all housing types in April was $257,900 ($250,400 in March), up 5.3% from April 2017 ($245,000).

·         Orders for manufactured durable goods fell 1.7% in April following a 2.7% jump in March. But excluding transportation, which drove the April decrease, new orders increased 0.9% last month. Transportation equipment hindered shipments of durable goods, which decreased 0.1% in April. On the plus side, inventories (0.3%) and unfilled orders (0.5%) each posted gains last month.

·         In the week ended May 19, there were 234,000 initial claims for unemployment insurance, an increase of 11,000 from the previous week’s level, which was revised up by 1,000. The advance insured unemployment rate remained at 1.2%. The advance number of those receiving unemployment insurance benefits during the week ended May 12 was 1,741,000, an increase of 29,000 from the prior week’s level, which was revised up by 5,000.

Eye on the Week Ahead

The final week of May brings with it the second release of the first-quarter gross domestic product, which grew at an annualized rate of 2.3% following the initial report in April. The personal income and outlays report for April should show continued gains in consumer income and spending, but only marginal increase in prices. The week closes with the May employment figures. Job growth has been steady, but not so much for wages.

Data sources: News items are based on reports from multiple commonly available international news sources (i.e. wire services) and are independently verified when necessary with secondary sources such as government agencies, corporate press releases, or trade organizations. Market data: Based on data reported in WSJ Market Data Center (indexes); U.S. Treasury (Treasury yields); U.S. Energy Information Administration/Bloomberg.com Market Data (oil spot price, WTI Cushing, OK); www.goldprice.org (spot gold/silver); Oanda/FX Street (currency exchange rates). All information is based on sources deemed reliable, but no warranty or guarantee is made as to its accuracy or completeness. Neither the information nor any opinion expressed herein constitutes a solicitation for the purchase or sale of any securities, and should not be relied on as financial advice. Past performance is no guarantee of future results. All investing involves risk, including the potential loss of principal, and there can be no guarantee that any investing strategy will be successful.

The Dow Jones Industrial Average (DJIA) is a price-weighted index composed of 30 widely traded blue-chip U.S. common stocks. The S&P 500 is a market-cap weighted index composed of the common stocks of 500 leading companies in leading industries of the U.S. economy. The NASDAQ Composite Index is a market-value weighted index of all common stocks listed on the NASDAQ stock exchange. The Russell 2000 is a market-cap weighted index composed of 2,000 U.S. small-cap common stocks. The Global Dow is an equally weighted index of 150 widely traded blue-chip common stocks worldwide. Market indices listed are unmanaged and are not available for direct investment.

IMPORTANT DISCLOSURES

Content has been provided by Broadridge Investor Communication Solutions, Inc.  Broadridge does not provide Investment, tax or legal advice.  The information presented here is not specific to any individual’s personal circumstances.

This publication is provided as a service to clients and associates of PFA solely for their own use and information.  The material is derived from sources believed to be reliable but its accuracy and the opinions based thereon are not guaranteed and have not been verified.  The content in this publication is for general information and education purposes only and not intended to serve as individual investment advice.  You should seek independent advice from a professional based on your individual circumstances.  The information in these materials may change at any time without notice.  To the extent that this material concerns tax matters, it is not intended or written to be used, and cannot be used, by a taxpayer for the purpose of avoiding penalties that may be imposed by law.  Each taxpayer should seek independent advice from a tax professional based on his or her individual circumstances.

This communication is strictly intended for individuals residing in the state(s) of CA, FL, IL, MO and TX. No offers may be made or accepted from any resident outside the specific states referenced.

Prepared by Broadridge Investor Communication Solutions, Inc. Copyright 2018.

Market Week: May 21, 2018

 

The Markets (as of market close May 18, 2018)

Small and mid caps outperformed large caps during moderate trading last week. Both the Dow and S&P 500 closed the week down around 0.5%, while the Nasdaq fell a bit more. The small caps of the Russell 2000 posted notable weekly gains and edged closer to the Nasdaq in year-to-date performance. While investors may have moved away from stocks last week, they didn’t necessarily put their money in long-term bonds, as prices fell and yields climbed higher. The yield on the 10-year Treasury note reached 3.12% last Thursday — a seven-year high.

The price of crude oil (WTI) rose again last week, closing at $71.40 per barrel, up from the prior week’s closing price of $70.58 per barrel. The price of gold (COMEX) fell to $1,292.50 by early Friday evening, down from the prior week’s price of $1,319.50. The national average retail regular gasoline price increased to $2.873 per gallon on May 14, 2018, $0.028 higher than the prior week’s price and $0.501 more than a year ago.

Market/Index 2017 Close Prior Week As of 5/18 Weekly Change YTD Change
DJIA 24719.22 24831.17 24715.09 -0.47% -0.02%
Nasdaq 6903.39 7402.88 7354.34 -0.66% 6.53%
S&P 500 2673.61 2727.72 2712.97 -0.54% 1.47%
Russell 2000 1535.51 1606.79 1626.63 1.23% 5.93%
Global Dow 3085.41 3108.41 3086.05 -0.72% 0.02%
Fed. Funds target rate 1.25%-1.50% 1.50%-1.75% 1.50%-1.75% 0 bps 25 bps
10-year Treasuries 2.41% 2.96% 3.05% 9 bps 64 bps

Chart reflects price changes, not total return. Because it does not include dividends or splits, it should not be used to benchmark performance of specific investments.

Last Week’s Economic Headlines

·         Retail sales of consumer goods and services increased 0.3% in April, and are up 4.7% over the past 12 months. April’s gain follows an 0.8% price jump in March. For April, gasoline station sales were up 0.8% and have advanced 11.7% over the year. Nonstore (internet) sales climbed 0.6% in April and are up 9.6% over the past 12 months. Clothing store sales enjoyed notable increases — 1.4% for the month and 4.1% for the year.

·         The number of building permits and housing starts fell in April from March, but housing completions increased. Building permits issued for privately owned housing units (all housing types) were 1.8% lower in April, but are 7.7% ahead of their April 2017 rate. Single-family permits actually increased by 0.9% for the month. Housing starts in April were 3.7% below their March rate, although single-family starts were 0.1% ahead of March. While April’s housing completions were 2.8% above their March rate, single-family completions in April fell 4.0% below their March level, which won’t help the already strained inventory of new homes for sale.

·         Industrial production rose 0.7% in April, according to the Federal Reserve report. This marks the third consecutive monthly increase. Over the last 12 months, industrial production has increased 3.5%. In April, manufacturing increased 0.5%, mining gained 1.1%, and utilities climbed 1.9%. Capacity utilization for the industrial sector climbed 0.4 percentage point in April. Through the early part of 2018, manufacturing looks to be a positive contributor to this year’s economic growth.

·         In the week ended May 12, there were 222,000 initial claims for unemployment insurance, an increase of 11,000 from the previous week’s level. The advance insured unemployment rate once again fell 0.1 percentage point to 1.2%. The advance number of those receiving unemployment insurance benefits during the week ended May 5 was 1,707,000, a decrease of 87,000 from the prior week’s level, which was revised up by 4,000. This is the lowest level for insured unemployment since December 1, 1973, when it was 1,692,000.

Eye on the Week Ahead

The housing market rebounded in March as both new and existing home sales experienced positive growth over the prior month. The residential sales figures for April are out this week and will certainly be impacted by scant inventory. March also was a good month for durable goods, as new orders increased by 2.6%. April’s information should prove similarly positive.

Data sources: News items are based on reports from multiple commonly available international news sources (i.e. wire services) and are independently verified when necessary with secondary sources such as government agencies, corporate press releases, or trade organizations. Market data: Based on data reported in WSJ Market Data Center (indexes); U.S. Treasury (Treasury yields); U.S. Energy Information Administration/Bloomberg.com Market Data (oil spot price, WTI Cushing, OK); www.goldprice.org (spot gold/silver); Oanda/FX Street (currency exchange rates). All information is based on sources deemed reliable, but no warranty or guarantee is made as to its accuracy or completeness. Neither the information nor any opinion expressed herein constitutes a solicitation for the purchase or sale of any securities, and should not be relied on as financial advice. Past performance is no guarantee of future results. All investing involves risk, including the potential loss of principal, and there can be no guarantee that any investing strategy will be successful.

The Dow Jones Industrial Average (DJIA) is a price-weighted index composed of 30 widely traded blue-chip U.S. common stocks. The S&P 500 is a market-cap weighted index composed of the common stocks of 500 leading companies in leading industries of the U.S. economy. The NASDAQ Composite Index is a market-value weighted index of all common stocks listed on the NASDAQ stock exchange. The Russell 2000 is a market-cap weighted index composed of 2,000 U.S. small-cap common stocks. The Global Dow is an equally weighted index of 150 widely traded blue-chip common stocks worldwide. Market indices listed are unmanaged and are not available for direct investment.

IMPORTANT DISCLOSURES

Content has been provided by Broadridge Investor Communication Solutions, Inc.  Broadridge does not provide Investment, tax or legal advice.  The information presented here is not specific to any individual’s personal circumstances.

This publication is provided as a service to clients and associates of PFA solely for their own use and information.  The material is derived from sources believed to be reliable but its accuracy and the opinions based thereon are not guaranteed and have not been verified.  The content in this publication is for general information and education purposes only and not intended to serve as individual investment advice.  You should seek independent advice from a professional based on your individual circumstances.  The information in these materials may change at any time without notice.  To the extent that this material concerns tax matters, it is not intended or written to be used, and cannot be used, by a taxpayer for the purpose of avoiding penalties that may be imposed by law.  Each taxpayer should seek independent advice from a tax professional based on his or her individual circumstances.

This communication is strictly intended for individuals residing in the state(s) of CA, FL, IL, MO and TX. No offers may be made or accepted from any resident outside the specific states referenced.

Prepared by Broadridge Investor Communication Solutions, Inc. Copyright 2018.

Market Week: May 14, 2018

 

The Markets (as of market close May 11, 2018)

Boosted by higher oil shares and rebounding tech stocks, the benchmark indexes listed here advanced markedly for the first time in several weeks. Gains were enough to push each of the indexes into the black year-to-date, led by the Nasdaq and the Russell 2000. By last week’s end, each of the indexes posted gains exceeding 2.0%. Not since the week ended April 13 have the indexes listed here posted gains exceeding 1.0%. Investors also may have taken comfort in the presumption that inflation isn’t heading skyward based on the modest increase in the Consumer Price Index. Soft prices may preclude, at least temporarily, the Federal Reserve from increasing interest rates.

The price of crude oil (WTI) continued to surge last week closing at $70.58 per barrel, up from the prior week’s closing price of $68.26 per barrel. The price of gold (COMEX) jumped to $1,319.50 by early Friday evening, up from the prior week’s price of $1,316.70. The national average retail regular gasoline price decreased to $2.845 per gallon on May 7, 2018, $0.001 lower than the prior week’s price but $0.473 more than a year ago.

Market/Index 2017 Close Prior Week As of 5/11 Weekly Change YTD Change
DJIA 24719.22 24262.51 24831.17 2.34% 0.45%
Nasdaq 6903.39 7209.62 7402.88 2.68% 7.24%
S&P 500 2673.61 2663.42 2727.72 2.41% 2.02%
Russell 2000 1535.51 1565.60 1606.79 2.63% 4.64%
Global Dow 3085.41 3044.54 3108.41 2.10% 0.75%
Fed. Funds target rate 1.25%-1.50% 1.50%-1.75% 1.50%-1.75% 0 bps 25 bps
10-year Treasuries 2.41% 2.95% 2.96% 1 bps 55 bps

Chart reflects price changes, not total return. Because it does not include dividends or splits, it should not be used to benchmark performance of specific investments.

Last Week’s Economic Headlines

·         The Consumer Price Index increased 0.2% in April after falling 0.1% in March. Over the last 12 months, the CPI has risen 2.5%. Gasoline prices (3.0%) led the price increase in energy (1.4%), which essentially carried the overall CPI. The index less food and energy (core prices) rose 0.1% for the month, and 2.1% for the 12 months ended in April. Of particular note, over the past 12 months, prices for energy (7.9%), gasoline (13.4%), and fuel oil (22.6%) have increased substantially.

·         Producer prices moved very little in April, up a scant 0.1% over March, when prices jumped 0.3%. In fact, the bump in prices is attributable to a 0.1% rise in the prices producers got for services — prices for goods were unchanged in April. Not unexpectedly, steel and aluminum prices increased over the month. Producer prices are up 2.6% for the 12 months ended in April.

·         The number of job openings increased by nearly 500,000 in March over February. Hires dropped slightly while total separations increased marginally. Of note, the gap between job openings and hires is 1.125 million, indicating that employers are having a hard time filling positions.

·         The federal government enjoyed the largest April budgetary surplus on record, bolstered by large individual tax deposits. For April, total government receipts were $510.45 billion, while government outlays were $296.12 billion, netting a monthly budget surplus of $214.26 billion. Through the first seven months of the fiscal year, the budget surplus sits at $385.44 billion. Over the same period last year, the federal budget surplus was $344.43 billion — a difference of about $41 billion.

·         U.S. import prices increased 0.3% in April following a 0.2% decline in March. Prices for U.S. imports rose 3.3% between April 2017 and April 2018. Fuel and petroleum prices notably increased, adding to the overall cost of imports. Prices for U.S. exports rose 0.6% in April, after increasing 0.3% in March. U.S. export prices increased 3.8% over the past year, the largest 12-month increase since a 4.8% rise for the year ended November 2011. Prices for agricultural exports fell 1.2% in April after recording a 3.2% rise in March. China’s shutdown of U.S. soybean imports may have impacted the drop in agricultural export prices.

·         In the week ended May 5, there were 211,000 initial claims for unemployment insurance, unchanged from the previous week’s level. The advance insured unemployment rate rose to 1.3%. The advance number of those receiving unemployment insurance benefits during the week ended April 28 was 1,790,000, an increase of 30,000 from the prior week’s level, which was revised up by 4,000.

Eye on the Week Ahead

If the recent purchasing managers’ survey responses are any indication, this week’s Federal Reserve report on industrial production should be encouraging. The latest figures on new residential construction for April are also out this week. Building permits and housing starts were strong in March, but bad weather throughout the country slowed housing completions. April’s report should show a more favorable rate of new home completions.

Data sources: News items are based on reports from multiple commonly available international news sources (i.e. wire services) and are independently verified when necessary with secondary sources such as government agencies, corporate press releases, or trade organizations. Market data: Based on data reported in WSJ Market Data Center (indexes); U.S. Treasury (Treasury yields); U.S. Energy Information Administration/Bloomberg.com Market Data (oil spot price, WTI Cushing, OK); www.goldprice.org (spot gold/silver); Oanda/FX Street (currency exchange rates). All information is based on sources deemed reliable, but no warranty or guarantee is made as to its accuracy or completeness. Neither the information nor any opinion expressed herein constitutes a solicitation for the purchase or sale of any securities, and should not be relied on as financial advice. Past performance is no guarantee of future results. All investing involves risk, including the potential loss of principal, and there can be no guarantee that any investing strategy will be successful.

The Dow Jones Industrial Average (DJIA) is a price-weighted index composed of 30 widely traded blue-chip U.S. common stocks. The S&P 500 is a market-cap weighted index composed of the common stocks of 500 leading companies in leading industries of the U.S. economy. The NASDAQ Composite Index is a market-value weighted index of all common stocks listed on the NASDAQ stock exchange. The Russell 2000 is a market-cap weighted index composed of 2,000 U.S. small-cap common stocks. The Global Dow is an equally weighted index of 150 widely traded blue-chip common stocks worldwide. Market indices listed are unmanaged and are not available for direct investment.

IMPORTANT DISCLOSURES

Content has been provided by Broadridge Investor Communication Solutions, Inc.  Broadridge does not provide Investment, tax or legal advice.  The information presented here is not specific to any individual’s personal circumstances.

This publication is provided as a service to clients and associates of PFA solely for their own use and information.  The material is derived from sources believed to be reliable but its accuracy and the opinions based thereon are not guaranteed and have not been verified.  The content in this publication is for general information and education purposes only and not intended to serve as individual investment advice.  You should seek independent advice from a professional based on your individual circumstances.  The information in these materials may change at any time without notice.  To the extent that this material concerns tax matters, it is not intended or written to be used, and cannot be used, by a taxpayer for the purpose of avoiding penalties that may be imposed by law.  Each taxpayer should seek independent advice from a tax professional based on his or her individual circumstances.

This communication is strictly intended for individuals residing in the state(s) of CA, FL, IL, MO and TX. No offers may be made or accepted from any resident outside the specific states referenced.

Prepared by Broadridge Investor Communication Solutions, Inc. Copyright 2018.

Market Week: May 7, 2018

 

The Markets (as of market close May 4, 2018)

Despite a closing rally last Friday, large caps closed the week down from the prior week. The tech-heavy Nasdaq and the small caps of the Russell 2000 fared better, up 1.26% and 0.60%, respectively. The jobs report sent mixed messages to investors, with the lowest unemployment rate in several years being offset by minuscule wage growth. Mixed corporate earnings reports coupled with the Fed’s decision to maintain interest rates raised the question of whether economic growth is slowing. Meanwhile, the rhetoric following trade talks between the United States and China seemed positive. Actions may speak louder than words, however, as China shut off all imports of U.S. soybeans in apparent retaliation for U.S. tariffs.

The price of crude oil (WTI) continues tracking higher. Last week’s closing price of $69.81 per barrel was up from the prior week’s closing price of $68.26 per barrel. The price of gold (COMEX) fell to $1,316.70 by early Friday evening, down from the prior week’s price of $1,337.60. The national average retail regular gasoline price increased to $2.846 per gallon on April 30, 2018, $0.048 higher than the prior week’s price and $0.435 more than a year ago.

Market/Index 2017 Close Prior Week As of 5/4 Weekly Change YTD Change
DJIA 24719.22 24311.19 24262.51 -0.20% -1.85%
Nasdaq 6903.39 7119.80 7209.62 1.26% 4.44%
S&P 500 2673.61 2669.91 2663.42 -0.24% -0.38%
Russell 2000 1535.51 1556.24 1565.60 0.60% 1.96%
Global Dow 3085.41 3075.04 3044.54 -0.99% -1.32%
Fed. Funds target rate 1.25%-1.50% 1.50%-1.75% 1.50%-1.75% 0 bps 25 bps
10-year Treasuries 2.41% 2.95% 2.95% 0 bps 54 bps

Chart reflects price changes, not total return. Because it does not include dividends or splits, it should not be used to benchmark performance of specific investments.

Last Week’s Economic Headlines

·         While noting that the labor market has continued to strengthen and that economic activity has been rising at a moderate rate, the Federal Open Market Committee nevertheless decided to maintain the federal target rate range at 1.50% to 1.75%, essentially due to moderated household spending. The Committee expects that economic conditions will evolve in a manner that will warrant further gradual increases in the federal funds rate. After indicating that the actual path of the federal funds rate will depend on the economic outlook as informed by incoming data, there is nothing in the Committee’s statement to indicate whether rates would be increased following its next meeting in June.

·         There were 164,000 new jobs added in April, according to the latest employment figures from the Bureau of Labor Statistics. But the big news is that the unemployment rate dropped to 3.9% — the lowest it’s been since December 2000. Wages didn’t gain much, increasing a scant 0.1% last month. Over the past 12 months, wages have increased 2.6%, which equates to a mere $0.67 — certainly not a sign of building inflationary pressures. The average workweek was unchanged at 34.5 hours.

·         According to the latest report from the Bureau of Economic Analysis, consumer income and spending increased in March. Consumer income rose 0.3% for the month, the same increase as February. Consumer spending rose 0.4% following no gain in February. The personal consumption expenditures price index didn’t change from February. However, both the PCE price index and the core (excluding food and energy) price index are up 2.0% and 1.9%, respectively, over the last 12 months — right at the target inflation rate sought by the Federal Open Market Committee.

·         According to the Bureau of Economic analysis, the international trade in goods and services deficit was $49.0 billion in March, down $8.8 billion from February. March exports were $208.5 billion, $4.2 billion more than February exports. March imports were $257.5 billion, $4.6 billion less than February imports. Year-to-date, the goods and services deficit increased $25.5 billion, or 18.5%, from the same period in 2017. Exports increased $39.2 billion, or 6.8%. Imports increased $64.7 billion, or 9.1%.

·         Manufacturing conditions continued to improve in April, as evidenced by the IHS Markit final U.S. Manufacturing Purchasing Managers’ Index™, which registered its highest level since September 2014. The production of goods accelerated and new orders grew while exceeding the pace of output. Purchasing manager respondents suggested that greater global demand for raw materials and recently introduced tariffs were key factors in increasing costs of production. This, in turn, led to average prices rising at the quickest pace since June 2011.

·         While the Markit PMI™ report was very positive, the Manufacturing ISM® Report On Business® was not so glowing — at least at first blush. The survey saw the April PMI® decrease 2.0 percentage points from March. New orders, production, employment, and inventories all regressed, while supplier deliveries and prices increased. While the numbers may indicate a slowdown in manufacturing, the respondents were quite encouraged with manufacturing overall. For instance, the Backlog of Orders Index reached its highest reading since May 2004. Production and employment continue to expand, but have been restrained by labor and skill shortages. The Prices Index is at its highest level since April 2011.

·         The latest Non-Manufacturing ISM® Report On Business® revealed business activity slowed in that sector during April. Employment and supplier deliveries held down the rate of growth for non-manufacturing industries. New orders and prices increased in April over March. According to the report, “respondents have expressed concern regarding the uncertainty about tariffs and the effect on the cost of goods. Overall, the respondents remain positive about business conditions and the economy.”

·         In the week ended April 28, there were 211,000 initial claims for unemployment insurance, an increase of 2,000 from the previous week’s level. The advance insured unemployment rate fell to 1.2%. The advance number of those receiving unemployment insurance benefits during the week ended April 21 was 1,756,000, a decrease of 77,000 from the prior week’s level, which was revised down by 4,000. This is the lowest level for insured unemployment since December 8, 1973, when it was 1,717,000.

Eye on the Week Ahead

The first noteworthy economic reports for April are out this week, including the Consumer Price Index and the Producer Price Index. The latest import and export prices for April could begin to show the impact, if any, of the recent trade policies adopted by the United States.

Data sources: News items are based on reports from multiple commonly available international news sources (i.e. wire services) and are independently verified when necessary with secondary sources such as government agencies, corporate press releases, or trade organizations. Market data: Based on data reported in WSJ Market Data Center (indexes); U.S. Treasury (Treasury yields); U.S. Energy Information Administration/Bloomberg.com Market Data (oil spot price, WTI Cushing, OK); www.goldprice.org (spot gold/silver); Oanda/FX Street (currency exchange rates). All information is based on sources deemed reliable, but no warranty or guarantee is made as to its accuracy or completeness. Neither the information nor any opinion expressed herein constitutes a solicitation for the purchase or sale of any securities, and should not be relied on as financial advice. Past performance is no guarantee of future results. All investing involves risk, including the potential loss of principal, and there can be no guarantee that any investing strategy will be successful.

The Dow Jones Industrial Average (DJIA) is a price-weighted index composed of 30 widely traded blue-chip U.S. common stocks. The S&P 500 is a market-cap weighted index composed of the common stocks of 500 leading companies in leading industries of the U.S. economy. The NASDAQ Composite Index is a market-value weighted index of all common stocks listed on the NASDAQ stock exchange. The Russell 2000 is a market-cap weighted index composed of 2,000 U.S. small-cap common stocks. The Global Dow is an equally weighted index of 150 widely traded blue-chip common stocks worldwide. Market indices listed are unmanaged and are not available for direct investment.

IMPORTANT DISCLOSURES

Content has been provided by Broadridge Investor Communication Solutions, Inc.  Broadridge does not provide Investment, tax or legal advice.  The information presented here is not specific to any individual’s personal circumstances.

This publication is provided as a service to clients and associates of PFA solely for their own use and information.  The material is derived from sources believed to be reliable but its accuracy and the opinions based thereon are not guaranteed and have not been verified.  The content in this publication is for general information and education purposes only and not intended to serve as individual investment advice.  You should seek independent advice from a professional based on your individual circumstances.  The information in these materials may change at any time without notice.  To the extent that this material concerns tax matters, it is not intended or written to be used, and cannot be used, by a taxpayer for the purpose of avoiding penalties that may be imposed by law.  Each taxpayer should seek independent advice from a tax professional based on his or her individual circumstances.

This communication is strictly intended for individuals residing in the state(s) of CA, FL, IL, MO and TX. No offers may be made or accepted from any resident outside the specific states referenced.

Prepared by Broadridge Investor Communication Solutions, Inc. Copyright 2018.