Monthly Archives: August 2018

Market Week: August 27, 2018

 

The Markets (as of market close August 24, 2018)

Despite a week that included yet more tariff trepidations and negative headlines on the political front, investors celebrated last Friday as several indexes hit new highs. The S&P 500 reached its first record since January, and cemented the current bull run as the longest in history. The Nasdaq and Russell 2000 also broke records, rising by 1.66% and 1.93%, respectively. Stock investors seemed to be reassured by Fed Chairman Jerome Powell’s optimistic comments during Friday’s conference of central bankers in Jackson Hole, Wyoming.

The price of crude oil (WTI) fell again last week, closing at $65.91 per barrel, down from the prior week’s closing price of $67.78 per barrel. The price of gold (COMEX) rose to $1,212.10 by early Friday evening, up from the prior week’s price of $1,191.20. The national average retail regular gasoline price fell to $2.821 per gallon on August 20, 2018, $0.022 lower than the prior week’s price but $0.461 more than a year ago.

Market/Index 2017 Close Prior Week As of 8/24 Weekly Change YTD Change
DJIA 24719.22 25669.32 25790.35 0.47% 4.33%
Nasdaq 6903.39 7816.33 7945.98 1.66% 15.10%
S&P 500 2673.61 2850.13 2874.69 0.86% 7.52%
Russell 2000 1535.51 1692.95 1725.67 1.93% 12.38%
Global Dow 3085.41 3034.52 3070.76 1.19% -0.47%
Fed. Funds target rate 1.25%-1.50% 1.75%-2.00% 1.75%-2.00% 0 bps 50 bps
10-year Treasuries 2.41% 2.86% 2.82% -4 bps 41 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 National Association of Realtors® reported that existing home sales fell for the fourth straight month in July to their slowest pace in over two years. Total existing-home sales dropped 0.7% to a seasonally adjusted annual rate of 5.34 million in July, from 5.38 million in June. Sales are now 1.5% below a year ago and have fallen on an annual basis for five consecutive months. NAR chief economist Lawrence Yun attributed the decline to potential buyers being priced out of the market or postponing their searches until more affordable options hit the market. July’s median existing-home price of $269,600 was 4.5% higher than it was a year ago.

·         The U.S. Census Bureau and Department of Housing and Urban Development reported that sales of new single-family homes also dropped in July, falling 1.7% below the June rate. However, year over year, the rate of new home sales grew by nearly 13%. The median sales price was $328,700 in July, up from $322,900 a year prior.

·         New orders for durable goods decreased 1.7% in July to $246.9 billion, according to the U.S. Census Bureau’s advance report on manufacturers’ shipments, inventories, and orders. Although the decrease follows a 0.7% increase in June, new orders have declined in three of the last four months. Transportation equipment, which also fell in three of the last four months, drove the decline. Excluding transportation, new orders increased 0.2%. After two consecutive months of increases, shipments also declined in July, falling by half a billion dollars (0.2%).

·         In the week ended August 18, the advance figure for seasonally adjusted initial claims for unemployment insurance was 210,000, a decrease of 2,000 from the previous week. According to the Department of Labor, the advance rate for insured unemployment claims remained at 1.2% for the week ended August 11. The advance number of those receiving unemployment insurance benefits during the week ended August 11 was 1,727,000, a decrease of 2,000 from the prior week’s level, which was revised up by 8,000.

Eye on the Week Ahead

The latest report on the second-quarter gross domestic product is out this week. The initial report, based on incomplete source data, showed the economy grew at an annualized rate of 4.1%. However, with more complete data available, this report may not be quite as positive, although it is expected to be very favorable nonetheless.

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: August 20, 2018

 

The Markets (as of market close August 17, 2018)

The large caps of the Dow and S&P 500 got a boost from a tentative agreement between the United States and China to settle their trade dispute by November. Strong corporate earnings reports also helped push stocks higher, particularly for the Dow, which rose close to 1.50% by last week’s end. The Nasdaq dipped more than a quarter of a percent while the Russell 2000 climbed higher. Long-term bond yields sank as increasing demand pushed prices higher (bond yields and prices move in opposite directions).

The price of crude oil (WTI) fell again last week, closing at $65.91 per barrel, down from the prior week’s closing price of $67.78 per barrel. The price of gold (COMEX) also dropped last week, closing at $1,191.20 by early Friday evening, down from the prior week’s price of $1,219.30. The national average retail regular gasoline price fell to $2.843 per gallon on August 13, 2018, $0.009 lower than the prior week’s price but $0.459 more than a year ago.

Market/Index 2017 Close Prior Week As of 8/17 Weekly Change YTD Change
DJIA 24719.22 25313.14 25669.32 1.41% 3.84%
Nasdaq 6903.39 7839.11 7816.33 -0.29% 13.22%
S&P 500 2673.61 2833.28 2850.13 0.59% 6.60%
Russell 2000 1535.51 1686.80 1692.95 0.36% 10.25%
Global Dow 3085.41 3046.05 3034.52 -0.38% -1.65%
Fed. Funds target rate 1.25%-1.50% 1.75%-2.00% 1.75%-2.00% 0 bps 50 bps
10-year Treasuries 2.41% 2.87% 2.86% -1 bps 45 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

·         Prices for U.S. imports recorded no change in July after edging down 0.1% in June. Higher fuel prices were offset by falling nonfuel prices. U.S. export prices decreased 0.5% in July following a 0.2% increase in June. The July decline was driven by a drop in agricultural export prices.

·         In July, retail sales increased 0.5% from June, and are up 6.4% over July 2017. For July, several businesses saw sales enjoy noteworthy increases, including food and beverage stores (0.6%); motor vehicle and parts dealers (1.1%); furniture and home furnishing stores (2.1%); electronics and appliance stores (1.8%); and building material and garden equipment (1.8%). Gasoline stations sales climbed 1.8% for the month and are up 22.2% over the year. Internet sales increased 1.2% in July and are up 8.7% since last July.

·         According to the Federal Reserve, industrial production edged up 0.1% in July after rising at an average pace of 0.5% over the previous five months. Manufacturing production increased 0.3%, the output of utilities moved down 0.5%, and, after posting five consecutive months of growth, the index for mining declined 0.3%. Overall, total industrial production was 4.2% higher in July than it was a year earlier.

·         The number of building permits and housing starts increased in July, while housing completions lagged. According to the Census Bureau, building permits rose 1.5% above their June rate and are 4.2% greater than the July 2017 rate. Housing starts also expanded by 0.9% for the month. However, starts are still 1.4% below their rate last July. New home inventory won’t get much of a boost as housing completions fell 1.7% from June. Completions are 0.8% below their July 2017 pace.

·         In the week ended August 11, there were 212,000 initial claims for unemployment insurance, a decrease of 2,000 from the previous week’s level, which was revised up by 1,000. The advance rate for insured unemployment claims remained at 1.2%. The advance number of those receiving unemployment insurance benefits during the week ended August 4 was 1,721,000, a decrease of 39,000 from the prior week’s level, which was revised up by 5,000.

Eye on the Week Ahead

The latest information on the housing sector is available this week with reports on sales of existing and new homes in July. Housing prices have been rising and inventory is advancing at a snail’s pace making for a very slow-moving housing market.

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: August 13, 2018

The Markets (as of market close August 10, 2018)

Despite the continued strength shown in corporate earnings reports, investors reeled in their enthusiasm last week, sending the large caps of both the S&P 500 and the Dow plummeting. Ongoing tensions between China, Russia, and now Turkey seem to have dampened investors’ confidence. Following new sanctions levied against Russia by the United States, Russian Prime Minister Medvedev threatened that Russia will consider U.S. sanctions a declaration of economic war. Meanwhile, U.S. threats against Turkey for refusing to release an American pastor added to Turkey’s economic crisis as the lira fell 14% against the dollar. And China has warned of a protracted trade war if the United States continues to add tariffs on Chinese goods.

All of which has affected the benchmark indexes listed here. In addition to the faltering Dow and S&P 500, the Global Dow fell almost 1.0% for the week and is down 1.28% compared to its year-end value. The tech-heavy Nasdaq held its own, while the small caps of the Russell 2000 climbed 0.80% and are ahead of last year’s closing value by almost 10%.

The price of crude oil (WTI) fell again last week, closing at $67.78 per barrel, down from the prior week’s closing price of $68.68 per barrel. The price of gold (COMEX) also dropped last week, closing at $1,219.30 by early Friday evening, down from the prior week’s price of $1,221.90. The national average retail regular gasoline price climbed to $2.852 per gallon on August 6, 2018, $0.006 higher than the prior week’s price and $0.474 more than a year ago.

Market/Index 2017 Close Prior Week As of 8/10 Weekly Change YTD Change
DJIA 24719.22 25462.58 25313.14 -0.59% 2.40%
Nasdaq 6903.39 7812.01 7839.11 0.35% 13.55%
S&P 500 2673.61 2840.35 2833.28 -0.25% 5.97%
Russell 2000 1535.51 1673.37 1686.80 0.80% 9.85%
Global Dow 3085.41 3074.54 3046.05 -0.93% -1.28%
Fed. Funds target rate 1.25%-1.50% 1.75%-2.00% 1.75%-2.00% 0 bps 50 bps
10-year Treasuries 2.41% 2.94% 2.87% -7 bps 46 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

·         Driven by rising housing and vehicle prices, the Consumer Price Index rose 0.2% in July following a 0.1% increase in June. Housing prices rose 0.3%, accounting for nearly 60% of the CPI monthly increase. Transportation also increased 0.3% for the month and 7.3% over the last 12 months. From last July, the CPI has risen 2.9%. The index less food and energy also expanded by 0.2% in July — the same as in May and June. The index less food and energy rose 2.4% for the 12 months ended July; this was the largest 12-month increase since the period ended September 2008.

·         Prices at the producer level were unchanged in July after advancing 0.3% in June. Over the 12 months ended in July, producer prices have increased 3.3%. Producer prices for goods increased 0.1% in July, which was offset by a 0.1% decrease in prices for services. Prices less foods, energy, and trade services moved up 0.3% in July, the same as in June. For the 12 months ended in July, prices less foods, energy, and trade services climbed 2.8%.

·         The 2018 federal budget deficit continues to expand, outpacing last year’s deficit. The July deficit was $76.9 billion — about $2 billion ahead of June’s deficit. For the year, the deficit sits at about $684 billion, or more than 17% ahead of the budget deficit over the same period last year.

·         According to the Job Openings and Labor Turnover Summary, the total number of job openings ticked up to 6.7 million at the end of June — little changed from May’s total. Some sectors that saw an increase in job openings include education and health services, construction, manufacturing, wholesale and retail trade, finance and insurance, real estate and rental and leasing, and leisure and hospitality. Job openings fell in transportation, warehousing, utilities, and information. The total number of hires fell by less than 100,000 in June, while total separations increased by less than 100,000. Over the 12 months ended in June, hires totaled 66.6 million and separations totaled 64.1 million, yielding a net employment gain of 2.5 million.

·         In the week ended August 4, there were 213,000 initial claims for unemployment insurance, a decrease of 6,000 from the previous week’s level, which was revised up by 1,000. The advance rate for insured unemployment claims remained at 1.2%. The advance number of those receiving unemployment insurance benefits during the week ended July 28 was 1,755,000, an increase of 29,000 from the prior week’s level, which was revised up by 2,000.

Eye on the Week Ahead

This week investors will continue to focus on world events as they impact the U.S. economy. The July report on import and export prices may show the impact of the ongoing trade wars.

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: August 6, 2018

 

The Markets (as of market close August 3, 2018)

Tech and mid-cap stocks performed best last week following strong second-quarter corporate earnings reports. Led by the Nasdaq, each of the benchmark indexes listed here posted gains last week, except for the Global Dow. The S&P 500 enjoyed solid returns and is over 6.0% ahead of its 2017 year-end value. The Dow, which tracks 30 large-cap stocks, ticked up slightly. The small caps of the Russell 2000 bumped over 0.50% higher and are almost 9.0% above last year’s close.

The price of crude oil (WTI) fell again last week, closing at $68.68 per barrel, down from the prior week’s closing price of $69.00 per barrel. The price of gold (COMEX) lost value last week, closing at $1,221.90 by early Friday evening, off from the prior week’s price of $1,232.60. The national average retail regular gasoline price climbed to $2.846 per gallon on July 30, 2018, $0.015 higher than the prior week’s price and $0.494 more than a year ago.

Market/Index 2017 Close Prior Week As of 8/3 Weekly Change YTD Change
DJIA 24719.22 25451.06 25462.58 0.05% 3.01%
Nasdaq 6903.39 7737.42 7812.01 0.96% 13.16%
S&P 500 2673.61 2818.82 2840.35 0.76% 6.24%
Russell 2000 1535.51 1663.34 1673.37 0.60% 8.98%
Global Dow 3085.41 3085.75 3074.54 -0.36% -0.35%
Fed. Funds target rate 1.25%-1.50% 1.75%-2.00% 1.75%-2.00% 0 bps 50 bps
10-year Treasuries 2.41% 2.95% 2.94% -1 bps 53 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 Federal Open Market Committee decided to maintain the federal funds rate at its current 1.75%-2.00% range. The Committee noted that the labor market has continued to strengthen, economic activity has been rising at a strong rate, and household spending and business fixed investment have grown. Inflation has remained near the Committee’s target of 2.0%. However, the FOMC expects further gradual increases in the target range for the federal funds rate, presuming continued economic expansion and rising inflation.

·         The labor market saw 157,000 new jobs added in July, while the unemployment rate edged down 0.1 percentage point to 3.9%. The number of unemployed persons declined by 284,000 to 6.3 million in July. In July, job gains occurred in professional and business services, in manufacturing, and health care and social assistance. The average workweek decreased by 0.1 hour to 34.5 hours in July, following an increase of 0.1 hour in June. Average hourly earnings for all employees rose by $0.07 to $27.05. Over the year, average hourly earnings have increased by $0.71, or 2.7%.

·         Consumer income surged in June, according to the latest report from the Bureau of Economic Analysis. Personal income (pre-tax) and disposable (after-tax) income increased by 0.4%, respectively. Consumer spending, as measured by personal consumption expenditures, also grew by 0.4%. On the other hand, prices for consumer goods and services edged up by only 0.1%. Core prices (excluding food and energy) also advanced a scant 0.1%. Over the last 12 months, prices have increased 2.2% (1.9% increase for core prices). Personal savings, as a percentage of disposable personal income, increased 2.6% for the month and 6.8% over the last 12 months.

·         The goods and services international trade deficit was $46.3 billion in June, up $3.2 billion from $43.2 billion in May. Exports fell 0.7%, while imports increased 0.6% in June. Year-to-date, the goods and services deficit increased $19.6 billion, or 7.2%, from the same period in 2017. Possibly reflecting the impact of the ongoing tariffs and trade wars, the trade deficit between the United States and China increased to $32.5 billion in June, and has expanded by 8.6% year-to-date.

·         According to IHS Markit®, the purchasing managers’ index fell to a five-month low in July. While respondents were generally positive in their evaluation of the manufacturing sector, new orders exceeded output. Orders were largely driven by domestic demand, as exports were generally flat.

·         The Institute for Supply Management® Report On Business® also had a drop in the July purchasing managers index. New orders, production, and prices each fell compared to June, while employment and inventories gained ground.

·         The sales and services (non-manufacturing) sector saw business activity scale back in July. New orders also slowed during the month. On the other hand, employment and prices increased by margins over their June totals.

·         In the week ended July 28, there were 218,000 initial claims for unemployment insurance, an increase of 1,000 from the previous week’s level. The advance rate for insured unemployment claims remained at 1.2%. The advance number of those receiving unemployment insurance benefits during the week ended July 21 was 1,724,000, a decrease of 23,000 from the prior week’s level, which was revised up by 2,000.

Eye on the Week Ahead

With interest rates remaining unchanged for now, this week focuses on the latest information on consumer prices. The Producer Price Index, which measures the change in prices received by sellers of goods and services, has risen 3.4% over the last 12 months ended in June. July’s Consumer Price Index, also out this week, is up 2.9% over the past year. Both indexes are expected to show moderate price increases in July.

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.