“Chance is always powerful. Let your hook be always cast; in the pool where you least expect it, there will be a fish.”
Many people stay with the same bank for decades. Online tools now make it easier to compare various banks. If you find your bank’s fees irritating or its ATM network insufficient, you can explore your options.
Normally flat and often inscribed, it can fall off the tallest building and land unscathed, but it can fall off a kayak or raft and be ruined. What is it?
Last week’s riddle
Gaze at my flat and anchored face. You will not see 13 any place. What am I?
Last week’s answer
As anticipated, the Federal Reserve raised the benchmark interest rate by 0.25% last week. The Federal Open Market Committee voted 10-0 to make the move. Its latest dot-plot forecast projects four rate hikes during 2016, which would put the federal funds rate above 1% by the end of next year. The Fed also adjusted the discount rate charged to commercial banks, raising it a quarter-point to 1.0%.1,2
ANOTHER TOUGH WEEK FOR OIL
Baker Hughes data showed a gain in the number of active U.S. oil rigs last week, the first since mid-November. Light sweet crude slipped 0.6% Friday, settling at $34.73 on the NYMEX and losing 2.5% in five days.3
PENDING HOME SALES INDEX IMPROVES
Housing contract activity increased 0.2% in October, representing a turnaround for the pending home sales index maintained by the National Association of Realtors. The index had retreated 2.3% in September.2
CORE CONSUMER PRICES RISE 0.2%
The core Consumer Price Index matched its October advance in November, taking its year-over-year gain to 2.0%. As for the headline CPI, it was flat in the eleventh month of the year and up just 0.5% in 12 months.4
BUILDERS WERE BUSY LAST MONTH
Housing starts climbed 10.5% in November according to the Census Bureau, nearly reversing the (revised) 12.0% decline in October. Building permits surged by 11.0% last month, following a 4.1% October rise.4
CRUDE WEIGHS DOWN EQUITIES AGAIN
Aside from a Wednesday rally following the Federal Reserve decision to raise interest rates, investors had little to cheer last week. During five days, the S&P 500 declined 0.34% to 2,005.55, the Nasdaq 0.21% to 4,923.08, and the Dow 0.79% t0 17,128.55.3
Cintas and Steelcase report quarterly results Monday. On Tuesday, Wall Street reacts to November existing home sales figures, the final Q3 GDP number from the federal government, and earnings from ConAgra Foods, Micron, Nike, and Paychex. Wednesday’s important items include reports on November personal spending, new home sales, and capital goods orders and the final December consumer sentiment index from the University of Michigan. Thursday is Christmas Eve, with the NYSE and NASDAQ closing at 1:00pm EST; earlier, the Labor Department will present its usual weekly initial claims report. Friday is Christmas Day; all U.S. financial markets will be closed.
|% CHANGE||Y-T-D||1-YR CHG||5-YR AVG||10-YR AVG|
|REAL YIELD||11/20 RATE||1 YR AGO||5 YRS AGO||10 YRS AGO|
|10 YR TIPS||0.73%||0.57%||1.05%||2.11%|
wsj.com, bigcharts.com, finance.yahoo.com, treasury.gov – 12/18/155,6,7,89
Indices are unmanaged, do not incur fees or expenses, and cannot be invested into directly. These returns do not include dividends. 10-year TIPS real yield = projected return at maturity given expected inflation.
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6 – bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=12%2F18%2F14&x=0&y=0 [12/18/15]