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Market Dashboard

Last update: 8/2/2021

Last week's featured headlines and data

Domestic

  • For the week ending July 30, the S&P 500® Total Return (TR) index fell 0.35% and the Dow Jones Industrial Average (Total Return) fell 0.36%. The S&P 500 TR’s year-to-date return, including price change plus dividends, was 17.99%. 
  • Despite robust consumer spending and strong Q2 earnings, growth was below expectations and markets dipped after setting more record highs last week. The Commerce Department reported that gross domestic product was up 6.5% year-over-year—falling short of the estimated 8.4%. The Federal Reserve held its benchmark interest rate steady, citing economic progress, but left the door open to a possible tapering of its monthly asset purchases later in the year.
  • The best-performing sectors for the week were materials and energy, while the worst-performing sectors were consumer discretionary and communication services.
  • The Senate continued to make progress on the trillion-dollar infrastructure bill, with Majority Leader Charles Schumer indicating votes will be held before the August break.
  • Apple, Microsoft, and Alphabet reported $57 billion in combined profit in Q2, beating records amid rising consumer and business spending.
  • The Centers for Disease Control and Prevention (CDC) said even fully vaccinated people should wear masks indoors in areas where the virus is spreading. President Biden expanded a Department of Veterans Affairs requirement for workers to get vaccinated to affect most federal government workers and the military. New York and California followed suit. 
S&P 500 sector performance for the week

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Russell Style Indexes

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International

  • The International Monetary Fund (IMF) predicted that inflation risk is not just temporary, signaling that central banks should react accordingly. While IMF kept its global growth forecast steady for 2021 at 6%, it revised 2022 expectations up half a percentage point to 4.9%.
  • As part of a campaign to encourage families to have more children, China is requiring companies in its $100 billion private-tutoring industry to switch to nonprofit status, follow standard fees, and avoid foreign ownership. 
  • Eurozone GDP beat Q2 expectations, rising 2% (and 13.7% year over year) after two quarters of contraction. However, Europe’s largest economy, Germany, saw weaker-than-anticipated growth, up just 1.5% in Q2 (vs. 2.1% forecast) as supply chain troubles bogged down industry.
  • Tokyo renewed its state of emergency over virus concerns. Even so, Japan saw better-than-expected data for June, with retail sales up 3.1% month-over-month and industrial output up 6.2%. 
  • Canada’s GDP declined in April and May. The service sector dropped, but industrial output rose 0.2%.
Trailing index returns

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Fixed income

  • US Treasury yields fell on Friday amid weaker-than-expected inflation data and investor worries about the delta variant. The yield on the benchmark 10-year US T-note closed at 1.24% on Friday, marking its biggest monthly drop since April 2020. 
  • Apple sold $6.5 billion in investment-grade bonds, taking advantage of low interest rates for the fourth time since May 2020. Proceeds are earmarked for share repurchases, shareholder dividends, and capital expenditures and acquisitions. 
  • Green bonds accounted for 3.4% ($15 billion) of the almost $3.9 trillion municipal-bond market in 2020. The percentage is expected to rise to 4.1% in 2021. Sustainable debt’s market share has grown 51% each year from 2014-2020 as governments meet investor demand for environmentally conscious projects. 
Weekly fixed income rates

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Other news

  • The Justice Department has nixed the Aon/Willis Tower Watson merger, which would have created the world’s largest insurance broker. 
  • Uber will pay TPG $2.25 billion to buy logistics management firm Transplace. 
  • Amazon disappointed on reported sales, failing to meet estimates for the first time since 2018.
  • Crypto exchange Binance will phase out futures and derivatives offerings in Germany, Italy, and the Netherlands amid regulatory pressures. 

The week ahead

  • ­The Census Bureau reports construction spending for June.
  • The Institute for Supply Management releases its Manufacturing Purchasing Managers’ Index for July.
  • ZoomInfo Technologies and others report earnings.
  • The Census Bureau reports factory orders for June. 
  • Motor Vehicle Sales reported.
  • Redbook.
  • Alibaba and others report earnings.
  • ADP releases its National Employment report for July.
  • Brazil's central bank (BCB) announces its monetary policy decision.
  • The ISM releases its Services PMI for July.
  • EIA Petroleum Status Report released.
  • MBA Mortgage Applications reported.
  • General Motors and others report earnings.
  • Challenger Job-Cut Report released.
  • The Bank of England (BoE) makes its monetary policy announcement.
  • International Trade in Goods and Services reported.
  • EIA Natural Gas Report released.
  • Jobless claims reported.
  • Moderna and others report earnings.
  • The Bureau of Labor Statistics releases the jobs report for July.
  • Consumer Credit reported.
  • Wholesale Inventories (preliminary) reported.
  • Baker-Hughes Rig Count reported. 
  • Canopy Growth and others report earnings.

Weekly and monthly style performance charts use Russell 1000, Russell Mid Cap, and Russell 2000 style indexes to represent large cap, mid cap, and small cap respectively.

BarCap Municipal TR USD: Listed for municipal-bond funds. This index serves as a benchmark for long-term, investment-grade, tax-exempt municipal bonds. The returns we publish for the index are total returns, which include reinvestment of dividends.

BarCap US Agg Bond TR USD: Composed of the BarCap Government/Credit Index, the Mortgage-Backed Securities Index, and the Asset-Backed Securities Index. The returns we publish for the index are total returns, which include reinvestment of dividends.

Barclays Capital U.S. Corporate High-Yield Bond Index: The U.S. Corporate High-Yield Index covers the USD-denominated, non-investment grade, fixed-rate, taxable corporate bond market. Securities are classified as high-yield if the middle rating of Moody’s, Fitch, and S&P is Ba1/BB+/BB+ or below. The index excludes emerging markets debt. The index was created in 1986, with index history backfilled to January 1, 1983. The U.S. Corporate High-Yield Index is part of the U.S. Universal and Global High-Yield Indexes.

Barclays Capital U.S. 7–10 Year Treasury: The index measures the performance of U.S. Treasury securities that have a remaining maturity of at least seven years and less than 10 years.

Bloomberg Gold Subindex: Formerly known as Dow Jones-UBS Gold Subindex (DJUBSGC), the index is a commodity group subindex of the Bloomberg CI composed of futures contracts on Gold. It reflects the return of underlying commodity futures price movements only and is quoted in USD.

Bloomberg WTI Crude Oil Subindex: Formerly known as Dow Jones-UBS WTI Crude Oil Subindex Total Return (DJUBCLTR), the index is a single commodity subindex of the Bloomberg CI composed of futures contracts on crude oil. It reflects the return of underlying commodity futures price movements only and is quoted in USD. 

60/40 S&P500/BarCap US Agg Bond Index: The 60/40 SP&500/BarCap US Agg Bond benchmark is comprised of a 60% allocation to the S&P500 and 40% allocation to the BarCap US Agg (rebalanced quarterly). The benchmark is intended to provide a hypothetical portrayal of a 60/40 asset allocation. 

Citigroup World Government Bond Index (Citigroup WGBI) is a market capitalization weighted index consisting of the government bond markets. Country eligibility is determined based on market capitalization and investability criteria. All issues have a remaining maturity of at least one year.

Dow Jones Industrial Average: Computed by summing the prices of the stocks of 30 companies and then dividing that total by an adjusted value—one which has been adjusted over the years to account for the effects of stock splits on the prices of the 30 companies. Dividends are reinvested to reflect the actual performance of the underlying securities.

DJ UBS Sub Crude Oil TR USD: Indexes in the DJ-UBSCIsm family are calculated on both an excess return and total return basis. The excess return indexes reflect the return of underlying commodity futures price movements only, whereas the total return indexes reflect the return on fully collateralized futures positions. 19 commodities are included in the DJ-UBSCIsm, representing the following commodity sectors: energy, precious metals, industrial metals, livestock, and agriculture.

DJ UBS Sub Gold TR USD: Indexes in the DJ-UBSCIsm family are calculated on both an excess return and total return basis. The excess return indexes reflect the return of underlying commodity futures price movements only, whereas the total return indexes reflect the return on fully collateralized futures positions. 19 commodities are included in the DJ-UBSCIsm, representing the following commodity sectors: energy, precious metals, industrial metals, livestock, and agriculture.

J.P.Morgan Emerging Markets Bond Index Global (EMBI Global) tracks total returns for traded external debt instruments in the emerging markets, and is an expanded version of the JPMorgan EMBI+. As with the EMBI+, the EMBI Global includes U.S.dollar-denominated Brady bonds, loans, and eurobonds with an outstanding face value of at least $500 million. It covers more of the eligible instruments than the EMBI+ by relaxing somewhat the strict EMBI+ limits on secondary market trading liquidity.

MSCI EAFE (Europe, Australasia, Far East) Index: A free float-adjusted market-capitalization index that is designed to measure the equity market performance of developed markets, excluding the U.S. and Canada. The MSCI EAFE Index consists of the following 21 developed market country indexes: Australia, Austria, Belgium, Denmark, Finland, France, Germany, Hong Kong, Ireland, Israel, Italy, Japan, the Netherlands, New Zealand, Norway, Portugal, Singapore, Spain, Sweden, Switzerland, and the United Kingdom. For more information, visit the MSCI website.

MSCI EMF (Emerging Markets Free) Index: A free float-adjusted market-capitalization index that is designed to measure equity market performance of emerging markets. The MSCI Emerging Markets Index consists of the following 23 emerging market country indexes: Brazil, Chile, China, Colombia, Czech Republic, Egypt, Greece, Hungary, India, Indonesia, Korea, Malaysia, Mexico, Peru, Philippines, Poland, Qatar, Russia, South Africa, Taiwan, Thailand, Turkey and United Arab Emirates. For more information, visit the MSCI web site.

Russell 1000: Consists of the 1000 largest companies within the Russell 3000 index. Also known as the Market-Oriented Index, because it represents the group of stocks from which most active money managers choose. The returns we publish for the index are total returns, which include reinvestment of dividends. Frank Russell Company reports its indexes as one-month total returns.

Russell 1000 Growth: Market-capitalization weighted index of those firms in the Russell 1000 with higher price-to-book ratios and higher forecasted growth values. The Russell 1000 includes the largest 1000 firms in the Russell 3000, which represents approximately 98% of the investable US equity market.

Russell 1000 Value: Market-capitalization weighted index of those firms in the Russell 1000 with lower price-to-book ratios and lower forecasted growth values. The Russell 1000 includes the largest 1000 firms in the Russell 3000, which represents approximately 98% of the investable US equity market.

Russell 2000: Consists of the smallest 2000 companies in the Russell 3000 Index, representing approximately 7% of the Russell 3000 total market capitalization. The returns we publish for the index are total returns, which include reinvestment of dividends.

Russell 2000 Growth: Market-weighted total return index that measures the performance of companies within the Russell 2000 Index having higher price-to-book ratios and higher forecasted growth values. The Russell 2000 Index includes the 2000 firms from the Russell 3000 Index with the smallest market capitalizations. The Russell 3000 Index represents 98% of the of the investable US equity market.

Russell 2000 Value: Market-weighted total return index that measures the performance of companies within the Russell 2000 Index having lower price-to-book ratios and lower forecasted growth values. The Russell 2000 Index includes the 2000 firms from the Russell 3000 Index with the smallest market capitalizations. The Russell 3000 Index represents 98% of the of the investable US equity market.

Russell Midcap: Measures the performance of the 800 smallest companies in the Russell 1000 Index, which represent approximately 25% of the total market capitalization of the Russell 1000 Index. As of the latest reconstitution, the average market capitalization was approximately $4.0 billion; the median market capitalization was approximately $2.9 billion. The largest company in the index had an approximate market capitalization of $12 billion.

Russell Midcap Growth: Market-weighted total return index that measures the performance of companies within the Russell Midcap Index having higher price-to-book ratios and higher forecasted growth values. The Russell Midcap Index includes firms 201 through 1000, based on market capitalization, from the Russell 3000 Index. The Russell 3000 Index represents 98% of the of the investable U.S. equity market.

Russell Midcap Value: Market-weighted total return index that measures the performance of companies within the Russell Midcap Index having lower price-to-book ratios and lower forecasted growth values. The Russell Midcap Index includes firms 201 through 1000, based on market capitalization, from the Russell 3000 Index. The Russell 3000 Index represents 98% of the of the investable U.S. equity market.

NASDAQ: Measures the performance of all issues listed in the NASDAQ Stock Market, except for rights, warrants, units, and convertible debentures. Morningstar reports the NASDAQ Composite as a price return.

S&P 500: A market capitalization-weighted index of 500 widely held stocks often used as a proxy for the stock market. It measures the movement of the largest issues. Standard and Poor's chooses the member companies for the 500 based on market size, liquidity and industry group representation. Included are the stocks of industrial, financial, utility, and transportation companies. Since mid-1989, this composition has been more flexible and the number of issues in each sector has varied. The returns presented for the S&P 500 are total returns, including the reinvestment of dividends each month.

The S&P 500 Consumer Discretionary sector comprises those companies included in the S&P 500 that are classified as members of the consumer discretionary sector.

The S&P 500 Consumer Staples sector comprises those companies included in the S&P 500 that are classified as members of the consumer staples sector.

The S&P 500 Energy sector comprises those companies included in the S&P 500 that are classified as members of the energy sector.

The S&P 500 Financials sector comprises those companies included in the S&P 500 that are classified as members of the financial sector.

The S&P 500 Health Care sector comprises those companies included in the S&P 500 that are classified as members of the health care sector.

The S&P 500 Industrials Sector comprises those companies included in the S&P 500 that are classified as members of the industrials sector.

The S&P 500 Information Technology Sector comprises those companies included in the S&P 500 that are classified as members of the information technology sector.

The S&P 500 Materials Sector comprises those companies included in the S&P 500 that are classified as members of the materials sector.

The S&P 500 Communications Services Sector comprises those companies included in the S&P 500 that are classified as members of the telecommunications services sector.

The S&P 500 Utilities Sector comprises those companies included in the S&P 500 that are classified as members of the utilities sector.