Homebuilders Lead the Charge
Today's financial recap and tomorrow's financial outlook.
This morning, the International Monetary Fund cut its 2013 growth forecast for the US to 1.7% from 1.9%. The IMF's global 2013 forecast was also lowered from 3.3% to 3.1%. US markets rallied on the day ahead of tomorrow's Fed minutes release and Ben Bernanke's speech. The S&P 500 (INDEXSP:.INX) finished the day up 0.7%.
SPDR S&P Homebuilders ETF (NYSEARCH:XHB) outperformed by a significant margin after CoreLogic reported sharply falling foreclosures in May.
The 10-year yield finished down 2 bps to 2.63%. Crude continued to push higher, finishing up 0.5% to $103.63, and hitting levels not seen since May 2012. Gold climbed for a second straight day, closing 0.74% higher at $1,245/oz.
Alcoa (NYSE:AA) reported earnings after yesterday's close, beating analyst estimates on both the top and bottom lines.
Ratings agency Standard & Poor's downgraded Italy's long-term credit rating from BBB+ to BBB. S&P's long-term outlook for the country is negative. The downgrade came after the European market close, during which the FTSE MIB Index (INDEXFTSE:FTSEMIB) traded slightly in the red.
The Nikkei 225 (INDEXNIKKEI:NI225) finished up 2.6% ahead of tomorrow's announcement from the Bank of Japan.Tomorrow's Financial Outlook
US wholesale trade data will be released at 10:00 a.m. EDT tomorrow morning. The consensus is to see month-over-month growth of 0.3%. The EIA petroleum status report will be released at 10:30 a.m. EDT.
The minutes from the last Fed meeting will be released at 2:00 p.m. EDT tomorrow. Chairman of the Fed, Ben Bernanke, will be speaking tomorrow after the market closes.
The Bank of Japan will make an announcement regarding its monetary policy tomorrow. The target interest rate is not expected to change.@Minyanville
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