October 2, 2016 The Week Ahead
The S&P 500 closed the week slightly higher. However, that doesn’t mean we didn’t see our fair share of volatility. In fact, if you look at the Dow Jones Industrials, they actually have had 6 straight triple digit closes. But we haven’t really seen much follow thru in either direction thus far. A day of weakness tends to be followed by a day of strength.
In respect to the upcoming schedule, there isn’t a whole lot going on in terms of earnings. Of course, we have our fair share of economic data and Fed speakers, but that’s really about it. China will be on holiday for the entire week.
Despite the market gaining on the week, the VIX actually rose a point from the previous Friday close, it finished Friday at 13.29.
The energy market reacted well to the most recent discussions out of OPEC. Crude oil futures prices were up nearly 8% on the week. This was mainly sparked by the belief that OPEC will follow thru on their informal agreement to cut production down. The official meeting is not till November.
Moving on, gold futures prices reversed nearly all of last week’s gains, dropping 1.62% In addition, T-bond futures prices saw a slight rise, closing the week .21% higher.
Here is what else is on the schedule for the upcoming week:
Key Economic Data:
3 Oct 2016- ISM Manufacturing Index 10:00 AM ET
5 Oct 2016- International Trade 8:30 AM ET; EIA Petroleum Status Report 10:30 AM ET
6 Oct 2016- Jobless Claims 8:30 AM ET
7 Oct 2016- Employment Situation 8:30 AM ET
Key Earnings:
4 Oct 2016- DRI, MU
5 Oct 2016- MON, STZ, YUM
6 Oct 2016- HELE, RT
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