The Weekly News from EWM
It's hard to believe nearly a year ago we were preparing for an enormous office move. The stress, all the moving parts, the unknown - it sure feels familiar to us right now! Step by step, piece by piece, we pulled together to make the move happen on time. Looking back, it was a tough transition, but we're tougher for it. We can do hard things together.
We may not be in the new office at the moment, but we're looking forward to seeing your smiling faces in the conference room, laughing together in the kitchen, and never taking our desks for granted again.
Best Regards,
Your Eagle Wealth Team
How to Put Your Stimulus Check to Work
If you’re one of the 80 million Americans who receive a stimulus check, but the payment is a “bonus” for you, you may be thinking “how can I help those in need?”. If you’re looking for some ideas, here are 12 ways to donate your stimulus check.
For those in our neck of the woods, you can find ideas on where to donate your stimulus check to help Central Oregonians here.
Do you remember the days of macaroni necklaces and papier-mâché volcanos? Well Miranda sure does. She’s kept busy creating art with everyday objects. What better time to hang out with family and get back to basics? These colorful pinecone flowers (pictured above) have brought the Nusbaum family hours of entertainment.
So, pull out the glue and puff paint, get your hands a little dirty, and have some fun. Need some inspiration? Here are 21 awesome DIY projects to make while in quarantine.
The Week on Wall Street
Stock prices ended the week slightly lower, despite news of positive results from a test trial of a COVID-19 drug treatment and several states easing their economic lockdowns.
The Dow Jones Industrial Average slipped 0.22%, while the Standard & Poor’s 500 lost 0.21%. The Nasdaq Composite Index dropped 0.34%. The MSCI EAFE Index, which tracks developed stock markets overseas, rose 4.34%.[i],[ii],[iii]
Light at the End of the Tunnel?
Investors were emboldened last week by two significant developments: a quickening in the pace of state re-openings and positive results from a clinical trial of pandemic treatment. These developments turned investor focus toward economic normalization and away from the economic destruction that has occurred.
Market optimism was also supported by earnings reports early in the week, which showed that some companies were navigating reasonably well through the crisis. But stocks retreated on Friday as traders reacted to mixed earnings from two tech titans. The two firms offered a reminder that even the strongest companies have not escaped the economic impact of the pandemic.
Worries over possible new China trade tariffs also weighed on stocks as the trading week came to a close.
Corporate Earnings
It was a busy week for corporate earnings reports. So far, the earnings season has been mixed; it has provided some clarity, though, about the impact of COVID-19 on businesses.
With 193 of S&P 500 companies reporting, 65% have checked in with results ahead of consensus Wall Street estimates. Among the better-performing sectors to date were Technology and Consumer Staples. Financials were among the laggards.[iv],[v],[vi]
Final Thought
Despite the continued shutdown of businesses nationwide, stocks staged a powerful rebound in April, leading some to wonder if Wall Street is disconnected from Main Street. But market watchers are quick to point out that Main Street may not be as disconnected as it appears. April’s rally was led by a group of very large companies, with over 75% of stocks in the S&P 500 trading below their 200-day moving average.[vii]
THIS WEEK: KEY ECONOMIC DATA
Monday: Factory Orders.
Wednesday: Automatic Data Processing (ADP) Employment Report.
Thursday: Jobless Claims.
Friday: Employment Situation Report.
Source: Econoday, May 1, 2020
The Econoday economic calendar lists upcoming U.S. economic data releases (including key economic indicators), Federal Reserve policy meetings, and speaking engagements of Federal Reserve officials. The content is developed from sources believed to be providing accurate information. The forecasts or forward-looking statements are based on assumptions and may not materialize. The forecasts also are subject to revision.
THIS WEEK: COMPANIES REPORTING EARNINGS
Monday: Skyworks Solutions (SWKS), Tyson Foods (TSN)
Tuesday: Walt Disney (DIS), Electronic Arts (EA), Prudential Financial (PRU), Illinois Tool Works (ITW), Sysco (SYY)
Wednesday: Square (SQ), CVS Health (CVS), General Motors (GM), Shopify (SHOP), T-Mobile (TMUS)
Thursday: Bristol-Myers (BMY), Anheuser-Busch (BUD), Becton Dickinson (BDX), Danaher Corp. (DHR)
Source: Zacks, May 1, 2020
Companies mentioned are for informational purposes only. It should not be considered a solicitation for the purchase or sale of the securities. Any investment should be consistent with your objectives, time frame and risk tolerance. The return and principal value of investments will fluctuate as market conditions change. When sold, investments may be worth more or less than their original cost. Companies may reschedule when they report earnings without notice.