SIA Wealth Morning Minutes Banner

Economic Data and Earnings Preview For This Week

Share on twitter
Twitter
Share on linkedin
LinkedIn
Share on facebook
Facebook
Share on email
Email

With the US closed for Memorial Day, the last day of trading in May for everyone else has been listless. Overseas markets are mixed with the Nikkei down 1.0%, the Dax down 0.2%, the FTSE flat and the Hang Seng up 0.1%. Commodities are showing some strength with WTI crude oil up 1.0% ahead of tomorrow’s OPEC meeting, natural gas up 1.1%, and copper up 0.3%. Gold is steady just above $1,900/oz while Bitcoin is bouncing back a bit with a 2.0% gain on the day trading just below $37,000.

It’s a big week for economic news from around the world starting with manufacturing and service PMI reports tomorrow and Thursday. Over the weekend, China reported strong non-manufacturing PMI for May (55.2 vs street 52.7) and steady manufacturing PMI (51.0 vs street 51.1). US Chicago PMI released last Friday, often seen as a preview of the national number, was scorching hot (75.2 vs street 68.0).

Later in the week, focus turns to employment with US ADP payrolls out on Thursday due to today’s holiday, and nonfarm payrolls plus Canadian employment on Friday. For the US, investors may be looking for signs of whether employment growth is accelerating or moderating, while for Canada, investors may be looking for indications of how much of an impact the recent round of lockdowns has had on the economy.

Other economic reports of note this week include Canadian and Australian GDP, plus US construction spending on Tuesday, and the US Beige Book regional economic report on Wednesday. Its a relatively light week for earnings this week. Bank of Nova Scotia wraps up Canadian bank earnings on Tuesday, while Lululemon pretty much wraps up retailer earnings on Thursday. One of the potentially more interesting reports of the week may be Zoom Communications on Tuesday which may indicate how well stay-at-home stocks are faring against tougher year-over-year hurdles and whether their growth momentum is continuing or slowing.

Disclaimer: SIA Wealth Management Inc. (SIAWM) specifically represents that it does not give investment advice or advocate the purchase or sale of any security or investment whatsoever. This information has been prepared without regard to any particular investor’s investment objectives, financial situation, and needs. None of the information contained in this document constitutes an offer to sell or the solicitation of an offer to buy any security or other investment or an offer to provide investment services of any kind. As such, advisors and their clients should not act on any recommendation (express or implied) or information in this report without obtaining specific advice in relation to their accounts and should not rely on information herein as the primary basis for their investment decisions. Information contained herein is based on data obtained from recognized statistical services, issuer reports or communications, or other sources, believed to be reliable. SIAWM nor its third party content providers make any representations or warranties or take any responsibility as to the accuracy or completeness of any recommendation or information contained herein and shall not be liable for any errors, inaccuracies or delays in content, or for any actions taken in reliance thereon. Any statements nonfactual in nature constitute only current opinions, which are subject to change without notice.

Share on twitter
Twitter
Share on linkedin
LinkedIn
Share on facebook
Facebook
Share on email
Email

At SIA Wealth Management everything we do is based on Relative Strength Analysis. We evaluate the Relative Strength between asset classes giving us insight into money flows on a large scale, and from this select top ranked investments.

Colin Cieszynski, Chief Market Strategist
Market Commentary:

Colin Cieszynski, CFA, CMT
Chief Market Strategist
ccieszynski@siawm.com
+1 (647) 282-4428

Keep Reading

INTERNET EXPLORER NOTICE