John J. Barrios, CFP® Presents:
“You can be standing right in front of the truth and not necessarily see it, and people only get it when they’re ready to get it.”
– George Harrison
The first step to saving money is to figure out where you are spending it. Break down essential and inessential costs in your life.
How can you name three consecutive days without mentioning the words Monday, Tuesday, Wednesday, Thursday, Friday, Saturday or Sunday?
Last week’s riddle:
What has a tail and head, but no body?
Last week’s answer:
April 29, 2013
Q1 GDP COMES IN AT 2.5%
The initial estimate of first quarter growth from the Bureau of Economic Analysis disappointed some analysts who had expected 3% expansion or better. Personal consumption and inventory accumulation were the prime sources of growth. Personal spending rose 3.2% in the quarter, but real disposable personal income fell 5.3%, which led the personal savings rate to slip to 2.6% from 4.7% in Q4. The big picture? The economic recovery is definite, but still sluggish. Overall durable goods orders dropped 5.7% in March, according to the Commerce Department.1,2
EXISTING HOME SALES FALL; NEW HOME SALES RISE While March brought a 0.6% dip in residential resales, the National Association of Realtors also noted the 10.3% gain in the pace of home buying from a year before. The Census Bureau reported a 1.5% gain in new home sales last month, with the year-over-year improvement in the sales pace at 18.5%.3
CONSUMERS GROW MORE POSITIVE AS APRIL ENDS
Economists polled by Reuters had forecast April’s final consumer sentiment reading from the University of Michigan to rise mildly to 73.2. Instead, it jumped to 76.4. That was still underneath the final March mark of 78.6.4
STOCKS KEEP ADVANCING
Across a volatile week, the Dow went +1.13% to settle at 14,712.55 Friday. The NASDAQ (+2.28% to 3,279.26) and S&P 500 (+1.74% to 1,582.24) also improved. At Friday’s close, about half of S&P 500 companies had reported quarterly results; just 42% had surpassed revenue forecasts, but 69% had beaten earnings expectations.4
THIS WEEK: The March consumer spending report arrives Monday, plus NAR’s March pending home sales figures and earnings from Hartford Financial, Newmont Mining and Buffalo Wild Wings. Tuesday offers the Conference Board’s April consumer confidence poll, February’s S&P/Case-Shiller Home Price Index and Q1 results from Pfizer, Aetna, UBS, Deutsche Bank, BP, NYSE Euronext, Sirius XM, US Steel and DreamWorks. Wednesday brings ADP’s April employment report, ISM’s April manufacturing index, a policy statement from the Federal Reserve, and earnings from Facebook, Visa, Allstate, Comcast, MasterCard, Merck, Time Warner, CVS, Chesapeake Energy, Clorox, Humana, CBS, Marriott, MetLife and Yelp. Earnings from Kellogg, GM, Royal Dutch Shell, Beazer Homes, AIG and Kraft Foods come out Thursday, plus April’s Challenger job cut report. On Friday, the Labor Department’s April employment report arrives along with ISM’s April service sector index and quarterly results from Berkshire Hathaway.
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John Barrios is registered to offer securities through First Heartland Capital, Inc. Member FINRA & SIPC, and offer advisory services through First Heartland Consultants, Inc. Barrios Financial Services is not affiliated with First Heartland Capital, Inc.
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1 – www.bloomberg.com/news/2013-04-26/latest-gdp-report-shows-u-s-economy-still-waiting-for-liftoff.html [4/26/13]
2 – briefing.com/investor/calendars/economic/2013/04/22-26 [4/26/13]
3 – www.csmonitor.com/Business/new-economy/2013/0423/New-home-sales-climb-1.5-percent-bolstering-housing-recovery [4/23/13]
4 – www.cnbc.com/id/100678668 [4/26/13]
5 – bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=4%2F26%2F12&x=0&y=0 [4/26/13]
5 – bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=4%2F26%2F12&x=0&y=0 [4/26/13]
5 – bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=4%2F26%2F12&x=0&y=0 [4/26/13]
5 – bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=4%2F25%2F08&x=0&y=0 [4/26/13]
5 – bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=4%2F25%2F08&x=0&y=0 [4/26/13]
5 – bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=4%2F25%2F08&x=0&y=0 [4/26/13]
5 – bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=4%2F25%2F03&x=0&y=0 [4/26/13]
5 – bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=4%2F25%2F03&x=0&y=0 [4/26/13]
5 – bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=4%2F25%2F03&x=0&y=0 [4/26/13]
6 – www.treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=realyield [4/26/13]
7 – www.treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=realyieldAll [4/26/13]