10 Things You Need To Know - November 28, 2017

Key data releases this week include: new home sales (Mon), consumer confidence (Tue), 3Q GDP revision (Wed), pending home sales (Wed), personal consumption (Thu), and ISM manufacturing (Fri).
Bloomberg
November 27, 2017
U.S. purchases of new homes unexpectedly advanced in broad fashion last month, reaching the strongest pace in a decade and offering an encouraging signal for residential construction. Single-family home sales rose 6.2% m/m to 685k annualized pace (est. 627k), the highest since Oct. 2007.
Haver
November 20, 2017
The Conference Board's Composite Index of Leading Economic Indicators jumped 1.2% during October following a 0.1% September rise, revised from -0.2%. It was the strongest monthly increase since November 2013 and occurred as hurricane effects on the economy subsided. A 0.5% rise had been expected in the Action Economics Forecast Survey.
Deutsche Welle/Reuters/The Associated Press
November 27, 2017
German Chancellor Angela Merkel's center-right Christian Democratic Union will take a fresh approach to forming a government and try to negotiate a "grand coalition" with the center-left Social Democratic Party. Merkel has struggled to form a government since her re-election Sept. 24.
South China Morning Post
November 22, 2017
The People's Bank of China is moving to slow growth of online microlenders. The central bank has halted issuance of licenses for the platforms and says brick-and-mortar banks can make loans only at locations where they are registered.
Barron’s
November 27, 2017
The CPI is up 2% over the last 12 months, while the PCE, the Fed’s favored gauge, is up only 1.3%. The PCE measures health-care costs according to Medicare and Medicaid reimbursement rates (not what patients pay). Moreover, total housing costs - notably rising rents – also have a smaller impact on the more widely watched CPI.
Barron’s
November 27, 2017
This bull market shows little evidence of a bubble top, according to Jason Trennert of Strategas Research. It’s driven mostly by institutional stock purchases, as opposed to individual investors in 1999-2000, and there’s no panicked buying. However, the Bitcoin excitement, which seems like a bubble, could spill over into the stock market and push equities to irrational heights.
Bloomberg
November 20, 2017
Politico Pro
Monday, November 20, 2017
Federal Reserve Chair Janet Yellen said she will leave the central bank's board of governors as soon as her presumed successor, Jerome Powell, is sworn in. Her departure will give President Donald Trump a fourth vacancy to fill on the seven-member board.
WSJ
November 27, 2017
Federal Reserve governor Jerome Powell heads to Capitol Hill on Tuesday for what could be one of the least contentious confirmation hearings for a Fed chair nominee since the financial crisis.
CNBC
November 22, 2017
Technical analyst Louise Yamada, CMT, expects the Nasdaq composite to make even more gains, noting that it has broken its record 66 times this year. Indicators such as the consistent rise above its 50-day moving average and the stellar performance of major tech names propelled the Nasdaq to its latest high last week and Yamada foresees an imminent rise to 7,000 and beyond.