Financial Markets Summary
Tuesday, September 27, 2016
- New single family home sales for August were 20% above the prior year, but 7.6% below July’s sales. The number beat estimates and shows that even though there is still a long way to go the trend for an improving new single family home market is showing positive signs of developing.
- Oil was down sharply as no agreement was reached between Saudi Arabia and Iran to limit production, which would curb supply. Near term support is at $41.50 a barrel, while resistance is near $46.50. Breaks in either direction bring more significant support and resistance in play. Oil closed yesterday near $45.60 a barrel.
- The U.S. dollar remains in its multi-year trading range. Many believe that it will remain there until there is some change in the zero interest rate policy of the Federal Reserve. Last December, it appeared the dollar could break out of the range. But with only one quarter point increase and no follow through with further hikes since then, it remains in the trading range.
- Corn, wheat and soybeans are off of the all-time lows, but just can’t seem to get any traction to distance themselves from those lows.
Sources: bankrate.com, bloomberg.com, briefing.com, Dow Jones News, Financial Times, finviz.com, Investor's Business Daily, marketwatch.com, seekingalpha.com, Thomson Reuters/First Call, U.S. Dept of Treasury, yahoo.com and individual company web sites and press releases.
Leonetti & Associates, LLC views or opinions are as of a certain date and subject to change without notice. The material contained herein is for informational purposes only and obtained from sources we consider reliable. We make no guarantee as to its accuracy or completeness. References to specific securities and industries/sectors should not be considered recommendations to buy or sell any security or advisory service. Past performance is not a guarantee of future results.