Monday March 12, 2018 – Friday March 16, 2018
On Monday, there wasn’t much economic data released, however, markets were mixed on nervousness over tariff retaliation, with multinational corporations like Boeing and Caterpillar suffering the most losses.
On Tuesday the consumer price index for February rose .2%, compared to the prior month’s .5% gain. President Trump issued an executive order blocking Broadcom’s attempted purchase of Qualcomm on national security grounds. President Trump also announced the firing of Secretary of State Rex Tillerson. Markets fell on the uncertainty.
On Wednesday, the producer price index for February rose .2%, compared to the prior month’s .4% gain and retail sales for February were much lower than expectations, declining .1%. Business inventories for January increased .6% and the EIA petroleum status report for the week ending March 9th saw crude oil inventory gain 5 million barrels. Markets fell on a report that said President Trump wants to impose $60 billion worth of tariffs on Chinese goods.
On Thursday, jobless claims for the week ending March 10th declined 4,000 to 226,000 and the Empire State Manufacturing survey for March soared to 22.5, much higher than expectations. Import prices for February rose .4% and export prices rose .2%. Trading volume in the S&P 500 was about 17% below average, with many investors waiting for more clarity. Markets closed mixed, U.S. crude closed at $61.21 a barrel and 10-year Treasuries finished the day yielding 2.82%.
On Friday housing starts for February fell 7% to an annualized 1.236 million units, much lower than expected, and industrial production for February rose 1.1%. Markets opened up modestly higher on the news. Now let’s take a look at some stocks.
DICK'S Sporting Goods, Inc. (NYSE: DKS) on Tuesday reported net sales for the 14-week fourth quarter of 2017 that increased 7.3% to approximately $2.7 billion. eCommerce sales increased approximately 9%. The company reached a low of $29.69 per share on Tuesday.
Fanhua Inc., (NASDAQ: FANH) a financial services provider in China, announced on Monday, its unaudited fourth quarter and year end results. Total net revenues were RMB690 million for the fourth quarter, representing a decrease of 48% from the corresponding period a year ago. Total operating costs and expenses were RMB628 million for the fourth quarter, representing a decrease of 52% from a year ago. Fanhua reached a low of $25.63 per share on Tuesday after the announcement.
DSW Inc. (NYSE: DSW) announced on Tuesday its fiscal fourth and full year results ending February 3rd. Total revenues reached a new high of $2.8 billion including the strongest growth in online demand in the last 9 years. Reported net income was $11.7 million, or $0.15 per diluted share, which included net after-tax charges of $18.8 million. DSW reached a high of $21.90 per share on Tuesday.
Signet Jewelers Limited (NYSE: SIG) reported fourth quarter results on Wednesday. Gross margin was $919 million, or 40% of sales, and same store sales decreased 8.6%. The company plans to Implement the "Signet Path to Brilliance" transformation plan to improve long-term operational and financial performance. The company’s shares fell to a new 52-week low of $37.42 on Thursday.