All the news you need to stay informed about what’s currently driving the market – courtesy of Raffa Wealth Management, LLC.
US stocks ended the first half of the year on a down note as stocks declined on hawkish comments from global central bankers. The S&P 500 fell 0.6% and the Dow ticked down 0.2% for the week. Abroad, Japan sank 0.5% and Europe dropped 2.1% for the week. The yield on the 10 year Treasury rose over the week to 2.30% posting its largest weekly yield increase since March. Oil prices recovered to a degree rising 7% to finish at $46.04 a barrel. Article
ECB president Draghi alluded to the ECB cutting back its stimulus in response to improving growth in Europe. On the news the euro surged 1.4%, its largest one day gain against the dollar and eurozone bonds fell. Article
The chiefs of the Bank of England and the Bank of Canada said they would be pairing back stimulus in the future.
Italy said it was prepared to spend as much as $19 billion to shut down two regional banks.
Durable goods orders fell in May for the second straight monthly declining 1.1%, more than expected. However for the year to date orders have gained over 2016.
National US banks all passed the Fed stress tests and their capital plans were approved by the Fed. As a result, big banks will increase share repurchases and dividend payouts to their highest levels in years. Article
The US grew at a 1.4% rate in the first quarter, in the final revision to GDP growth.
Economic confidence in the Eurozone reached its highest level since 2007.
Inflation eased for the third consecutive month in May to 1.4% from a year earlier. It’s the lowest level in six months and well below the fed’s target of 2%.
The EU gave Google a record fine of $2.7 billion saying the search engine favored its own online shopping service over others. Article
Office supply store Staples was bought by private equity fund Sycamore for $6.9 billion.
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