Weekly Market Snapshot from Frazier Allen for the week of July 7th, 2013
Market Commentary by Scott J. Brown, Ph.D., Chief Economist
The economic data were mixed. The June ISM non-manufacturing survey disappointed, but motor vehicle sales were strong and the employment report was better than anticipated. Nonfarm payrolls rose by 195,000 in June (the median forecast was 165,000), while figures for April and May were revised a net 70,000 higher.
Manufacturing payrolls continued to slide, but there were strong gains in business and professional services, as well as retail and leisure and hospitality. Payroll gains at eating and drinking establishments were strong for a third consecutive month (accounting for a little over a quarter of private-sector job gains in 2Q13).
The unemployment rate held steady at 7.6% (labor force participation edged higher). Long-term unemployment fell, but remained elevated. Unemployment rates for teenagers and young adults remain high. [Read more]
Weekly Market Snapshot from Frazier Allen for the week of June 30th, 2013
Market Commentary by Scott J. Brown, Ph.D., Chief Economist
Federal Reserve officials were out in force trying to soothe market fears. A range of Fed comments had added to market uncertainty in previous weeks, but officials are now singing out of the same page of the hymnal. The message: there was no change in the Fed’s monetary policy intentions last week.
Bernanke was merely clarifying the Fed’s decision-making process. Future policy moves will remain data-dependent. If the economic data come in weaker than anticipated, any reduction in the pace of the Fed’s asset purchases would be pushed out. Tapering is not tightening.
As the Fed slows the rate of asset purchases, it would still be added accommodation. The Fed expects to hold these securities for a long time, maintaining policy accommodation. A rise in the federal funds rate target is still a long way off. Most Fed officials expect the first increase in 2015. Equities rose and bond yields declined. [Read more]
Sanderson Pipe Achieves Clarksville-Montgomery County Green Certification
Montgomery County, TN – Sanderson Pipe Corporation, headquartered in Florida, is the latest industry to become Clarksville-Montgomery County Green Certified Green Certification. Sanderson’s Clarksville location is a manufacturer of mid to mega sized PVC pipes primarily used in construction.
Sanderson Pipe Green Certification Ribbon Cutting.
Weekly Market Snapshot from Frazier Allen for the week of June 25th, 2013
Market Commentary by Scott J. Brown, Ph.D., Chief Economist
The Federal Open Market Committee left short-term interest rates unchanged, did not alter its forward guidance on the overnight lending rate, and said it would maintain its asset purchase program at $85 billion per month. The policy statement was a near photocopy of the previous one.
The FOMC indicated that recent inflation readings have been low due partly to “transitory influences.” The downside risks to the outlook for growth and the labor market had “diminished” since the fall. The FOMC repeated that it could “increase or reduce” the pace of asset purchases depending on how the outlook for the labor market or inflation changes. [Read more]
Market Update from Frazier Allen, June 23rd, 2013
Clarksville, TN – Equities across the globe fell sharply after Federal Reserve Chairman Ben Bernanke implied that the central bank may start to wind down its asset purchases later this year if the economy continues to improve. The three major domestic indices took a hit, and the CBOE Volatility Index spiked to a new high this year.
The statement triggered a selloff on Wednesday and Thursday, as markets reacted to the prospect of higher interest rates. Many market observers already had forecast when this third round of quantitative easing would dial down, but the markets responded regardless. [Read more]
Executive Legal Professionals Opens In Middle Tennessee with Ribbon-Cutting Ceremony
Clarksville, TN – On Thursday, June 13th, Executive Legal Professionals (www.ExecutiveLP.com) held its ribbon-cutting ceremony at the Chamber of Commerce in Clarksville, Tennessee.
Executive Legal Professionals ribbon-cutting Ceremony at the Clarksville Area Chamber of Commerce.
Better Business Bureau of Middle Tennessee to hold Selling With Social Media Seminar July 16th
Clarksville, TN – On Tuesday, July 16th, 2013 from 4:00pm–6:00pm the Better Business Bureau of Middle Tennessee will host the BBB business seminar, Next Generation Marketing, “Selling with Social Media” featuring social media expert Amanda Johns-Vaden from Southwestern Consulting.
The seminar will be held at Daymar Institute, 2691 Trenton Road in Clarksville, TN.
Amanda Johns Vaden is a founding partner at Southwestern Consulting, which is an international, multi-million dollar sales consulting organization, focused on creating systems to increase performance. [Read more]
Weekly Market Snapshot from Frazier Allen for the week of June 16th, 2013
Market Commentary by Scott J. Brown, Ph.D., Chief Economist
U.S. market participants continued to fret about Federal Reserve policy, debating when policymakers would dial down the rate of asset purchases and what that would mean for the economy and long-term interest rates. The market volatility surrounding the Fed’s decision is somewhat puzzling.
Recall that the Fed has a qualitative threshold for the asset purchase program: “substantial improvement” in labor market conditions. That phrase means different things to different Fed officials. The total level of Fed purchases is what matters, not the monthly pace. There was no appreciable increase in long-term interest rates when QE1 and QE2 ended. QE3 differs in that it is open-ended. We don’t know exactly when it will end and what the total amount of purchases will be. So, the total amount of Fed purchases is unclear. [Read more]
Weekly Market Snapshot from Frazier Allen for the week of June 11th, 2013
Market Commentary by Scott J. Brown, Ph.D., Chief Economist
Next week, the important economic data bunch up at the end of the week. Retail sales are likely to have been lackluster-to-moderate in May.
Industrial production figures should remain soft, reflecting general weakness in the manufacturing sector.
None of the reports is expected to suggest a removal of monetary policy accommodation anytime soon. [Read more]
Clarksville-Montgomery County continues to Grow and Improve
Clarksville, TN – You see it on TV, hear it on the radio and read about it daily in every news source, both online and in print. It’s as hot a topic as ever; economic growth as we begin to come out of a recession.
Right now, all over the country, community leaders are working strategically to make sure that their communities continue to grow. That rings especially true in Clarksville-Montgomery County.
Downtown Clarksville during the Annual Rivers and Spires Festival
