Weekly Newsletter 10/11/24

Good afternoon from my home to yours. I am very grateful to be able to send you this message from my house. Our thoughts and prayers to those impacted yet again all too soon. Pasquale and Letty’s families and homes are safe and sound as well. Like many, we are all dealing with intermittent power issues, however, when considering many other’s circumstances, we are more than fine. The office is without power, and we hope to be back to our regular routine on Monday.

U.S. stocks higher in Friday trading, near best levels. Stocks are erasing the modest pullback from Thursday's session. The S&P 500 hit a fresh intraday high and the S&P 500 and Nasdaq are on track to log their fifth straight week of gains. Today, banks are leading on well-received earnings. Other outperformers include road/rail, asset managers, credit cards, P&C insurance, media, chemicals, and machinery. Relative laggards include semis, software, airlines, drug stores, apparel, and utilities. Treasuries mixed with the curve steepening. Dollar index down 0.1% after nine straight days of gains. Gold up 1.3%. Oil down 0.1%, but on pace for a fourth weekly gain in the past five weeks.

Some push and pull in the markets this week. The S&P 500 set a fresh record close on Wednesday and both the S&P and Nasdaq may close out a fifth-straight week of gains, but has also come up against a notable recent uptick in Treasury yields (10Y yield up ~35bp in the past eight sessions). Economic data has been mainly positive though Thursday's slightly hotter-than-expected headline and core September CPI coupled with weather-impacted but still higher jobless claims report has helped keep discussion of Fed's easing pace front and center. Nevertheless, consensus still firmly in the soft-landing camp, with some cautious optimism about Q3 earnings and positive seasonality factoring in the bull case. Stated headwinds continue to point to stretched valuations, concerns about the consumer impulse, fears of a softening labor market, and geopolitical/election uncertainties.

Focus today also on unofficial start to the Q3 earnings season, kicked off by the big banks. Analysts still expecting y/y growth overall, though analysts have been lowering estimates by a larger margin than recent averages.

The baseball playoffs are in full swing with the New York City teams being the first to punch their ticket to their respective league championship series. Pasquale’s Mets will face either the San Diego Padres or the Los Angelas Dodgers for the National League Pennant. The Yankee await Detroit or Cleveland. The NHL season puck dropped this week to the joy of my thirteen-year-old daughter. We hope to see the Florida Panthers in the Stanley Cup finals for the third year in a row as they attempt a Lord Stanley repeat. Don’t say it too loudly but my Vikes are 5-0…don’t ask about my poor Wyoming Cowboys. Hoops are around the corner…love your family, like your sports.

Wishing you a great weekend. The link below contains additional financial information.

“You don’t have to swing hard to hit a home run. If you got the timing, it’ll go.” – Yogi Berra

Thank you,

Kyle

KYLE CHRISTIANSON, CFP®
Financial Advisor
Raymond James & Associates, Inc.
1421 Pine Ridge Rd, Ste 300
Naples, FL 34109
Toll Free (800) 843-2025 | Direct (239) 513-6525 | Main (239) 513-6500 | Fax (239) 596-5474
Kyle.Christianson@RaymondJames.com

Any opinions are those of Kyle Christianson and not necessarily those of RJA or Raymond James. The information contained in this report does not purport to be a complete description of the securities, markets, or developments referred to in this material. There is no assurance any of the trends mentioned will continue or forecasts will occur. The information has been obtained from sources considered to be reliable, but Raymond James does not guarantee that the foregoing material is accurate or complete. Any information is not a complete summary or statement of all available data necessary for making an investment decision and does not constitute a recommendation. Investing involves risk and you may incur a profit or loss regardless of strategy selected. This is not a recommendation to purchase or sell the stocks of the companies mentioned. Leading Economic Indicators are selected economic statistics that have proven valuable as a group in estimating the direction and magnitude of economic change. The S&P 500 is an unmanaged index of 500 widely held stocks that is generally considered representative of the U.S. stock market. Keep in mind that individuals cannot invest directly in any index, and index performance does not include transaction costs or other fees, which will affect actual investment performance. Individual investor's results will vary. Sector investments are companies engaged in business related to a specific sector. They are subject to fierce competition and their products and services may be subject to rapid obsolescence. There are additional risks associated with investing in an individual sector, including limited diversification. Investing in oil involves special risks, including the potential adverse effects of state and federal regulation and may not be suitable for all investors. Bond prices and yields are subject to change based upon market conditions and availability. Gold is subject to the special risks associated with investing in precious metals, including but not limited to: price may be subject to wide fluctuation; the market is relatively limited; the sources are concentrated in countries that have the potential for instability; and the market is unregulated.