John Hancock: Weekly Market Recap Week Ended November 18th

Retail resilience

On the heels of a flat result the previous month, U.S. retail sales picked up in October, rising a seasonally adjusted 1.3% from September. That’s the strongest monthly retail gain since February 2022, despite negative factors such as inflation and rising interest rates.

Recession watch

A private report that tracks shifts in the U.S. economic cycle showed a rising likelihood of a recession. The Conference Board Leading Economic Index for the United States fell for the eighth month in a row, with just 3 of its underlying 10 economic components recording positive results in October.

Housing downturn

U.S. home sales in October fell for the ninth month in a row as this year’s sharp rise in mortgage rates continued to weigh on the real estate market. The National Association of Realtors on Friday reported that sales of previously owned homes declined 5.9% from the prior month and 28.4% from the same month a year earlier.

Wednesday data feast

Wednesday will yield a bumper crop of economic reports in a holiday-shortened week. Releases scheduled for Wednesday include U.S. Federal Reserve meeting minutes, consumer sentiment data, new home sales, and weekly unemployment claims. U.S. markets will be closed Thursday due to the Thanksgiving holiday and markets will be open for a shortened trading day on Friday.

Source: https://wmr.jhinvestments.com/