The Strength of the Market is: Strong
As we moving into summertime, the latest concerns for investors are inflation and legislative negotiations on infrastructure - a package expected to boost the economy further. The month of May ended with four straight months of stock market gains, even with these concerns.
Economic reports from last week came back mostly negative:
•Home Prices - better than expectation
•New Home Sales - worse than expectation
•Pending Home Sales - worse than expectation
•Consumer Confidence - worse than expectation
•Consumer Sentiment - worse than expectation
•Manufacturing (Richmond) - better than expectation
•Manufacturing (Kansas City) - worse than expectation
•Jobless Claims - better than expectation
In a Holiday-shortened week, investors will look for guidance from economic reports like Construction Spending, Manufacturing, Employment and Jobless Claims.