Markets in the US scaled higher peaks in the holiday-shortened week (ended June 2), despite the disappointing economic data on the US economy.
The primary detractor from U.S. Moat Index performance in April was healthcare companies, particularly pharmaceutical supply chain companies. Express Scripts Holding Co. (ESRX US, -6.93%) saw its fair value estimate…
The U.S.-oriented Morningstar® Wide Moat Focus IndexSM (MWMFTR, or “U.S. Moat Index”) posted strong returns in April and outpaced the S&P 500® Index (1.97% vs. 1.03%). The U.S. Moat Index…
For April, the top three detractors in MOAT were healthcare companies like AmerisourceBergen (ABC), Express Scripts (ESRX), and McKesson (MCK).
Morningstar helps investors choose companies with economic moats. “Economic moats” refers to companies’ ability to obtain an advantage over competitors.
The Japanese yen (FXY) closed last week at 111.34 against the US dollar, compared to 111.28 in the previous week. The yen has bounced back from the the level of 110.84 it saw last week.
In recent weeks, we’ve witnessed volatile behavior in the markets (SCHB) due to political turbulence in the United States and increased investor impatience.
Optimism seeped into the global markets after a positive revision to the US 1Q17 GDP prior to the Memorial Day long weekend. Bond yields (BND) have risen marginally from their lows.
Regardless of the euro’s minor fall to 1.118 compared to 1.121 a week earlier, currency traders remained biased toward further gains in the shared currency.
Uncertainty returned to the British markets last week as investors worried about the close race between both parties in the upcoming UK elections scheduled for June 8, 2017.
The US dollar (UUP) has continued to lose its value with respect to its trading partners. The US Dollar Index fell 1.6% in the week ended May 26, 2017.
Market participants were caught by surprise when they read that the Federal Open Market Committee’s members were concerned about slowing growth in the US economy during 1Q17.
Equity markets had a positive reaction to the FOMC’s meeting minutes in May. The S&P 500 Index (SPY) record another lifetime high of 2,405.58 on May 24.
The FOMC’s May meeting minutes were released on Wednesday. Now, markets (SPY) doubt if the Fed will hike interest rates in the June meeting.
This week’s data surpassed analyst expectations. Inflation for April came in at a healthy 2.7%.
The Japanese yen (FXY) closed at 111.28 last week after clocking in a low of 110.21 in the volatile week.
Economic data from the Eurozone continued to improve.
CFTC data released on Friday indicated that commercial traders maintained a net position of 5,756 contracts in the previous week.
US markets had the worst trading session so far this year on Wednesday, May 17, 2017.
The health care sector (IBB) (VHT) (XBI) has been the most challenged sector since Donald Trump’s presidential campaign.