Weekly Market Snapshot: January 31, 2020
Market related news for the week ending January 31, 2020
- Monday saw the Dow drop more than 400 points as fears around the coronavirus hit travel stocks and the general market. The CBOE Volatility Index spiked to 19.02 intraday.
- General Motors announced Monday they would invest $2.2 billion in Detroit to build electric vehicles.
- Apple earnings crushed analysts’ expectations for the quarter Tuesday. Results were powered by iPhone sales as well as Airpods and Apple Watches. Shares hit a record high in nearly trading Wednesday.
- AMD and Xilinx fell Wednesday on weak guidance. Xilinx said it sees a slowdown in both 5G and infrastructure deployment. Meanwhile, GE shares were up 7% after beating earnings expectations.
- Wednesday L Brands shared were up 12% after the Wall Street Journal reported that founder Les Wexner is in talks to step down.
- Wednesday’s FOMC meeting saw rates unchanged.
- Thursday Facebook shares fell as much as 8%, following an earnings release after the bell Wednesday that showed a 51% rise in expenses. Meanwhile Tesla and Microsoft shares were up after announcing earnings beats.
- Friday Amazon hit a $1 trillion market cap after releasing earnings that far outstripped estimates. The company also gave upbeat guidance for the first quarter.
- Monday: New Home Sales for December fell 0.4% to 694,000, the third straight monthly decline in sales.
- Tuesday: Durable Goods Orders for December grew 2.4%, largely due to military spending. November’s reading was reduced from -2.1% to -3.1%.
- Tuesday: Case-Shiller Home Price Index for November was 3.5% year-on-year.
- Tuesday: Consumer Confidence Index for January rose to 131.6 from 126.5 in December.
- Wednesday: Pending Home Sales for December fell 4.9%, as supply of homes hit a record low in the same month.
- Thursday: Weekly Jobless Claims for week 1/25 were 216,000, for a monthly average of 214,500.
- Thursday: GDP Q4 was 2.1% quarter-over-quarter, or 2.3% year-over-year.
- Friday: Consumer Spending for December was up 0.3%.
- Friday: Core PCE Price Index for December came in at 0.2%, or 1.6% year-on-year.
- Friday: Chicago PMI for January was 42.9, below expectations, and the weakest reading since late 2015.
- Friday: Consumer Sentiment Index for January was 99.8, slightly higher-than-expected.
Looking ahead: Economic news for the week ending February 7, 2020
- Monday: Markit Manufacturing PMI for January at 9.45am.
- Monday: ISM Manufacturing Index for January at 10.00am.
- Tuesday: Factory Orders for December at 10.00am.
- Wednesday: ADP Employment Report for January at 8.15am.
- Wednesday: ISM Non-manufacturing Index for January at 10.00am.
- Thursday: Weekly Jobless Claims for week 1/31 at 8.30am.
- Friday: Non-farm Payrolls for January at 8.30am.
This website is for informational purposes only and is not intended to provide a complete description of BMO Global Asset Management’s products or services. Past performance is not indicative of future results. It should not be construed as investment advice or relied upon in making an investment decision. Information on this website does not constitute an offer for products or services, or a solicitation of an offer in any jurisdiction in which such solicitation or offer would be unlawful. Products and services can only be offered by appropriate representatives of the respective manager. Notice to residents of the United Kingdom: For the avoidance of any doubt, the information on this website does not constitute an offer for products or services to persons in the United Kingdom.
BMO Asset Management Corp. is the investment adviser to the BMO Funds. BMO Funds are distributed by Foreside Financial Services, LLC. Member FINRA/SIPC. FINRA’s BrokerCheck.
All investments involve risk, including the loss of principal.
Foreign investing involves special risks due to factors such as increased volatility, currency fluctuation and political uncertainties.
Investors should carefully consider the investment objectives, risks, charges and expenses of the BMO Funds. This and other important information is contained in the prospectuses and/or summary prospectuses, which can be obtained by calling 1-800-236-3863. Please read carefully before investing.
BMO Global Asset Management is the brand name for various affiliated entities of BMO Financial Group that provide investment management and trust and custody services. Certain of the products and services offered under the brand name BMO Global Asset Management are designed specifically for various categories of investors in a number of different countries and regions and may not be available to all investors. Products and services are only offered to such investors in those countries and regions in accordance with applicable laws and regulations. BMO Financial Group is a service mark of Bank of Montreal (BMO).
BMO Asset Management U.S. consists of BMO Asset Management Corp., BMO Asset Management (Canada)® includes BMO Asset Management Inc.
BMO Taft-Hartley Services and BMO Trust and Custody Services are a part of BMO Global Asset Management and a division of BMO Harris Bank N.A., offering products and services through various affiliated entities of BMO Financial Group.
Investment advisory services in the United States are provided by BMO Asset Management Corp., BMO Asset Management Limited, LGM Investments Limited, BMO Global Asset Management (Asia) Limited, Pyrford International Ltd and Taplin, Canida & Habacht, LLC.
Investment advisory services in Canada are provided by BMO Asset Management Inc., BMO Asset Management Corp., LGM Investments Limited, BMO Global Asset Management (Asia) Limited and Pyrford International Ltd.
Financial promotions in the United Kingdom are provided by LGM Investments Limited, Pyrford International Ltd, and BMO Asset Management Limited. LGM Investments Limited, Pyrford International Ltd, and BMO Asset Management Limited are authorized and regulated by the Financial Conduct Authority in the United Kingdom.
Asset management services in Hong Kong are provided by BMO Global Asset Management (Asia) Limited, licensed by the Securities and Futures Commission to conduct regulated activity Type 9 - asset management under the Securities and Futures Ordinance.
Investment products are: Not a Deposit — Not FDIC Insured — No Bank Guarantee — May Lose Value.
Copyright © 2020. BMO Financial Corp. All Rights Reserved.
TM/® Trade-marks/registered trade-marks of Bank of Montreal, used under license.