Tuesday, February 23, 2016

Economic Journal - Tuesday, 2/23/2016



(As of 7:15am, PST)
 
After an impressive showing yesterday which saw the Dow up 229 points and the S&P up over 1.4%, the markets have opened slightly lower as oil has peeled back gains this morning in early trading. Today, investors have a slew of economic reports to digest led by the Case-Shiller Home Price Index for December. The 20 city composite was steady in December showing that 10 of 20 cities experienced an increase in prices. Overall, home prices increased 5.7% over the last 12 months. Other economic reports due out later this morning include the Consumer Confidence report for February and the Existing Home Sales report for January. The recent economic reports have been relatively positive but the downside of that is that the market may have to start contending with some shifting rate hike expectations. A couple of strong earnings reports out this morning will have some impact on the Dow. Dow component Home Depot (HD) announced a 17% increase in its quarterly dividend which has the home improvement retailer up over 3% which will lend some support to the broader market. In news around the world, Germany’s market had a tough day after a weaker than expected Business Climate report and most of the markets in Asia finished lower in overnight trading.

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