Last Week:

Markets were mixed last week.

The Fed left interest rates alone at their latest meeting this past week. But the feeling was another ¼ point increase would happen by the end of the year. Most feel this would come in December.

The Fed did reveal the details on how they will begin unwinding their balance sheet. The key word here is gradual, starting slowing and increasing the amount their balance sheet will diminish. If fully implemented, a year from now the Fed’s balance sheet will move from $4.5 Trillion, down to $4.2 Trillion. And the following year, down to $3.6 Trillion.

Housing starts were down slightly in August. Year-over-year housing starts are up +1.4%.

Existing home sales were also down slightly in August. Year-over-year existing home sales are only up +0.2%.

The Philly Fed Business Outlook Survey jumped higher for their September read. Lots higher. The consensus number was for a reading of 18.0, with the actual number coming in at 23.8.


This Week:

Economic focus of the week: will come on Thursday morning with the final read on Q2’s GDP. The prior revision had the Q2 GDP read at +3.0%. Expectations are to see that rise a tick, up to +3.1%.

Indicator focus: August’s new home sales (Tue); August’s durable goods orders (Wed); the final read on Q2 GDP (Thu).


Have a great week,

Chris

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