Click here to download a pdf of The Profit Margin

To download this weeks The Profit Margin.

December 4 , 2017
Statistic of the Week: 
Emerging market stocks have been in a bear market for over four years at this point. They are trading at an approximately 50% discount to their American peers. The Chinese slowdown is having a significant impact on their price action.
Global Perspective: 
The Bank of Japan recently cut its benchmark interest rate below zero, targeting -0.1%. Both the Swiss and the European Central Banks have already deployed negative rates in an attempt to spur growth and lending. The Japanese policy only applies to new deposits, not those already on the books.
Market Moving Events: 
Tuesday: JOLTS, Wholesale Trade Wednesday: Petroleum Status Report Thursday: Jobless Claims Friday: Retail Sales, Import Export Prices, Business Inventories, Consumer Sentiment
Commentary: 
Equity markets sank in value last week after posting gains the previous two. The S&P 500 declined 3.04%, while the DJIA held up better - dropping 1.54%.1 Year-to-date, the indices are down approximately 8% and 7%, respectively.2 The S&P 500 is off to its worse start since 2009,3 and both indices are in “correction” territory (a drop from a recent high of greater than 10%). The S&P 500 is about 12.5% away from its local peak.4 The volatility and decline of equities since early August have created an environment where investors have sought to preserve value in bond positions. The yield on the 10-year Treasury has fallen to 1.86% as of Friday’s close.5 Some fixed income positions have proven to be a safe-haven so far. Much of last week’s decline occurred on Thursday and Friday, as the market got a bad case of acid reflux digesting the monthly jobs figure. While the unemployment rate declined to 4.9% (the lowest figure in eight years), the economy only added 151,000 jobs – well below expectations.6 This figure suggests that recent turbulence in the investment markets is beginning to impact business sentiment. The week ahead is light on economic data releases, yet eyes will certainly be focused on this week’s employment figure on Thursday. While a slow news cycle may increase volatility in the short-term, savvy investors will be mindful of long-term value and growth opportunities. -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:

Money Magazine

 

Global Perspective:

The Economist

 

Market Moving Data:

Bloomberg.com

 

Chart of the Week:

Haver Analytics / Bureau of Labor Statistics

Commentary:

1.Bloomberg
2.Bloomberg
3.Goldman Sachs Asset Management
4.Bloomberg
5.Bloomberg
6.Bureau of Labor Statistics
 
Contact Information: 

Phone: 609.671.9100

Toll Free: 866.899.0068

Fax: 609.671.9199

 

www.VenturaWealth.com

 

Visit Our Blog:
www.VenturaWealth.com/Our-Blog

 

200 Princeton South Corporate Center

Suite 150

Ewing, NJ 08628

Pages

Securities offered through American Portfolios Financial Services, Inc. (APFS) Member FINRA/SIPC. Investment Advisory Services offered through Ventura Wealth Management is not affiliated with APFS and APAI.Any opinions expressed in this forum are not the opinion or view of American Portfolios Financial Services, Inc. (APFS) or American Portfolios Advisors, Inc. (APA) and have not been reviewed by the firm for completeness or accuracy. These opinions are subject to change at any time without notice. Any comments or postings are provided for informational purposes only and do not constitute an offer or a recommendation to buy or sell securities or other financial instruments. Readers should conduct their own review and exercise judgment prior to investing. Investments are not guaranteed, involve risk and may result in a loss of principal. Past performance does not guarantee future results. Investments are not suitable for all types of investors.