MarketView Chart of the Week, posted December 17, 2004
Each year since 1984, PNC Advisors has provided an analysis of what it would cost to purchase all of the goods and services in the "Twelve Days of Christmas" classic holiday song.
MarketView Chart of the Week, posted November 26, 2004
The U.S. trade balance, the difference between how much a country exports and how much it imports, has been growing since the early 1990s. Factors like increasing energy prices and the weakening dollar may have significant impacts on the current trade deficit.
MarketView Chart of the Week, posted November 19, 2004
The U.S. dollar has been weakening versus major world currencies since early 2002. This depreciation in the strength of the dollar is often viewed negatively; however the weakness can be a strong contributor to the growth of our economy as reported by the Gross Domestic Product (GDP).
MarketView Chart of the Week, posted October 29, 2004
During 2004, large value stocks have outperformed their large growth counterparts. Prior to 2002, during the raging bull and crippling bear markets, large growth and value stocks diverged greatly in performance by almost forty percent. This large difference between growth and value performance is historically uncommon.
MarketView Chart of the Week, posted October 22, 2004
Riskier smaller company stocks, those with market capitalizations of $1 billion and under, have exceeded the returns of their larger counterparts over the past one year period.
MarketView Chart of the Week, posted October 8, 2004
Historically, markets have seen positive returns in the fourth quarter, however analysts are hesitant to get their hopes up with record breaking oil prices and other economic and geopolitical uncertainties.
MarketView Chart of the Week, posted October 1, 2004
The U.S. has a negative trade balance with China and it has been growing. During the period from 1997 to 2003, imports from China have grown 244% while exports to China have grown 221% indicating that the trade balance is widening.
MarketView Chart of the Week, posted September 17, 2004
Monetary policy refers to actions taken by the Federal Reserve, the nation’s central bank, to influence the amount of money available in the U.S. economy. As can be seen from the chart above, as the Fed continued to decrease the discount rate over the past several years, the money supply has continued to grow. Now that the Fed has started increasing the rates, the growth rate of money supply should theoretically start to slow.
MarketView Chart of the Week, posted August 26, 2004
Crude oil prices hit record high levels last week reaching almost $50 a barrel but have not surpassed the inflation-adjusted oil prices seen in the early 1980s.
MarketView Chart of the Week, posted August 20, 2004
The high price of oil, tepid job growth and rising interest rates may be causing turmoil for many investors. The year to date returns shown in the chart above indicate that the Dow Jones Industrial Average, S&P 500 and Nasdaq Indexes reached 2004 lows over the past two weeks.
MarketView Chart of the Week, posted August 13, 2004
In addition to the news of increased oil prices, heightened terrorism alerts, and unusually low hiring, personal consumption was reported at a low not seen since 1986 (adjusting for September 11th). Some analysts were caught off guard by this report and are mixed about whether this is an anomaly or an indication of a slowdown in growth.
MarketView Chart of the Week, posted August 6, 2004
Small cap stocks fell dramatically in July with their worst decline since September 2002. The Russell 2000 Index of small stocks, shown in the chart above, fell 6.8%.
MarketView Chart of the Week, posted July 30, 2004
The wage component of the Employment Cost Index (ECI) grew only 0.6% for the quarter— the slowest wage growth on record. The costs of benefits in the same period increased at almost twice that rate, 7.2%— the fastest growth rate since 1990.
MarketView Chart of the Week, posted July 23, 2004
The interest rate environment in the second quarter of 2004 was largely impacted by investor anticipation of the June 30 Federal Reserve Open Market Committee (FOMC) meeting. However, market rates remained within their trading range (indicated by the green dashed lines), since they had already moved prior to the Fed action
As expected, the Federal Open Market Committee (FOMC) raised the target overnight interest rate 0.25% to 1.25% this week. This rate represents the rate that banks use to lend money to each other. This week, the FOMC also raised this rate by 0.25% to 2.25%.