The U.S. stock market had a good day, back up to the high it hit a couple times in the last ten days but no further, at least yet. This is simple consolidation and it says nothing about whether stocks will go up more or fall back. The idea that stocks move every day based on the economic news is what newscasters say in order to make themselves seem relevant, but it is not exactly true.
So, what is the economic news today?
S&P cuts economic growth forecast for Europe to -0.5%, Europe is in a mild recession and looks to continue in it.
IMF says Italy must improve its banks’ capital positions
US durable goods order up 5.7%, more than expected, though mainly in civilian aircraft orders, which is very volatile
Home prices on average rose 8% since last year, though some of that is more moderate price homes being added to the sales mix in addition to low price homes. Your home probably did not increase 8% in value last year.
Home sales slowed down in February and inventory backed up some
Consumer confidence index dropped much more than expected, down to 59
Pretty mixed, wouldn’t you say? Next time someone on TV wants to explain why the stock market is up or down simply in terms of news stories, understand that is not the whole picture.