January 30, 2017
Consumers spent heavily on vehicles in December but may have drawn from their savings to do it, based on what is nevertheless a solid personal income and spending report. Turning to housing, the sector couldn't accelerate into year end but there may be strength early this year based on a jump in the pending home sales index.
Stocks were on the defensive with the Dow dipping 0.6 percent to 19,971 and back under 20,000 after breaking the barrier last Wednesday. There was little movement in the bond market with the 10-year yield ending 2 basis points higher at 2.49 percent.