Tuesday, February 18, 2014

Economic Journal - Tuesday, 2/18/2014

(As of 7:15 am PST)
 
After being closed yesterday for President’s Day holiday, US equity markets opened lower Tuesday being dragged down by disappointing economic data.  Manufacturing activity in the New York region slowed in February by more than analysts anticipated.  The Empire State index slipped but remained in positive territory after surging to almost a 2 year high in January.  The index is widely regarded as a good indicator for overall manufacturing conditions.  Another report on housing showed that homebuilder confidence plunged in February, dropping to the lowest level in 9 months, as builders cited pessimistic sales trends including the severe winter weather conditions seen around much of the nation.  Earnings continued to trickle in with the most notable report coming from Coca-Cola as the beverage company reported disappointing earnings which sent the stock lower by almost 3%.  International markets are mixed with most Asian markets closing higher while Europe is moving lower heading into the final hour of trade.  Gold is higher by nearly 1.5% while oil is also up 1%.  Interest rates are down as is the US dollar index.  Expect a back and forth day as markets struggle to find direction around some disappointing data points today.

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