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June 19 , 2017
Statistic of the Week: 
Members of Gen X (65 million) are outnumbered by the Millennials (83 million) and the Baby Boomers (77 million). Of the three age cohorts, they are least confident about retirement, as they hit critical earning years. 44% say they are not confident they are saving enough to retire.
Global Perspective: 
In a surprise move, Moody’s downgraded China’s sovereign debt rating. The ratings agency noted that the central government was doing too little to “rebalance the economy” or slow the accumulation of debt. Any major initiatives to curb these issues will likely be announced before the Communist Party Congress which takes place later in the year.
Market Moving Events: 
Tuesday: Personal Income and Outlays, Consumer Confidence Wednesday: Pending Home Sales, Beige Book Thursday: Jobless Claims, Vehicle Sales, Productivity and Costs, ISM Manufacturing Index, Construction Spending Friday: Employment Situation, International Trade
Commentary: 
With the S&P 500 notching gains seven days in a row, and setting a record high last Thursday,1 it is safe to say that it was a good week for equities. The DJIA is below the record level it set over three months ago, but is still up about 6.7% for the year.2 The S&P 500 has put in a slightly stronger gain, up 7.9%.3 Much of these healthy gains can be attributed to only a few stocks – you know them well. The FAANG names (Facebook, Amazon, Apple, Netflix, Google) have been major drivers of overall index performance. Investors that do not hold at least a sampling of these names, throw in Microsoft for good measure, may be asking themselves, “what rally?” It is no surprise that the information technology sector has been leading the charge. Those stocks represent the highest earnings growth in the first quarter,4 while other sectors, energy for instance, are having a difficult time contributing as oil prices decline.5 Last week, markets benefited from a relative calm in domestic political news as President Trump undertook his first overseas trip. It could be argued that “the market” has been myopically focused on earnings for the first half of the year. With earnings season behind us for the first quarter, and a little over a month before second quarter earnings begin, we are wary that investors may go looking for something to worry about… political intrigue being one of them. - Dan McElwee, CFP®
Chart of the Week: 
About Ventura Wealth Management: 
Ventura Wealth Management is an independent Registered Investment Advisor (RIA). Unparalleled service, objective advice, and comprehensive planning act as the central pillars of our client experience. We are dedicated to building long-term client relationships through diligent management, custom portfolios, client education, and ongoing financial review
Sources: 

Statistic of the Week

 Investment Advisor

 

Global Perspective:

 The Economist

 

Market Moving Data:

Bloomberg.com

 

Chart of the Week:

Haver Analytics / Bureau of Economic Analysis

 

Commentary:

1.Bloomberg
2.Bloomberg
3.Bloomberg
4.Goldman Sachs Asset Management
5.Goldman Sachs Asset Management
6.Bloomberg
 
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