The Milwaukee Company’s Economic Briefing Report is a weekly summary of economic indicators that have the potential of impacting stock and bond markets. Readings associated with a high level of risk for a number of the indicators listed below could suggest an elevated risk of a U.S. recession, and therefore a higher level of market risk. This Report is for informational purposes only and should not be regarded as a substitute for independent research and personalized investment advice.
Comments on this week’s report:
- Interest rate spreads were virtually unchanged as both long-term and short-term rates rose.
- The unemployment rate was held near an all-time low of 3.70% as the U.S. continues to add jobs at a steady 1.71% annual rate.
- Wage growth, measured by average hourly earnings, also picked up as its year-over-year change increased from 2.79% to 3.20%.
- The composite home price index slowed down a bit, yet continues to grow at a strong 5.55% annual rate.
- Inflation, measured by the core Consumer Price Index (CPI) remains comfortably near the Fed’s 2.0% target.