Daily Insights

Weekly Market Drivers:Last week’s market drivers included solid U.S. labor market data, the unofficial start of first quarter earnings season, and further signs of political and structural stress in Europe. Check out Friday’sWeekly Market Driverspost on theLPL Research blogfor more insight.

What’s priced in?With theS&P 500 Indexless than 1% away from its all-time high set September 20, 2018, a lot of good news is reflected in current stock prices. In consultation with our friends at Strategas Research Partners, in today’sWeekly Market Commentary, we have taken a look at what may or may not be priced into stocks to identify some potential surprises that could drive the next leg of this rally, as well as some possible areas of disappointment should something priced in not occur. Two areas of possible positive surprises include the quality of an eventual trade deal with China and corporate profits.

Too high, or too low?The U.S. inflation narrative has flipped again. Late last year, deteriorating global conditions shifted the economic landscape and fueled concerns that inflationary pressures could be too low, hinting to an impending U.S. economic slowdown. Even though the market’s perception of inflation has changed significantly, we see signs in inflation data that lower inflation fears could be fleeting. In this week’sWeekly Economic Commentary, we’ll outline key takeaways from the latest pricing and wage reports, and what the data show about the state of U.S. inflation.

LPL Advisors’ Top Tweets.Check out theLPL Research bloglater today to see some of our favorite advisor tweets from March. We are grateful for all the terrific engagement with advisors on social; please join us via @LPLResearch.

Week ahead.First quarter earnings season ramps up with 48 S&P 500 companies scheduled to report. On the economic front, manufacturing,retail salesandLeading Indexdata will draw much of the attention in the U.S. Overseas,Purchasing Managers’ Indexdata will be the focal point of the European docket with France, Germany and the composite Eurozone all reporting. In Asia, Chinesegross domestic productand Japanese industrial production are also scheduled to be released. Track these and other important events on ourWeekly Global Economic & Policy Calendar.

Click Here for our detailed Weekly Economic Calendar

Monday

• N/A

Tuesday

• Industrial Production (MoM, Mar)
• Japan Trade Balance (Mar)
• Japan Exports (Mar)
• Japan Imports (Mar)
• China Industrial Production (Mar)
• ChinaGDPReport (Q1)

Wednesday

• Trade Balance (Feb)
• Federal ReserveBeige Book(Apr)
• Japan Industrial Production (Feb)
• Eurozone Trade Balance (Feb)
• EurozoneCPIReport (Mar)

Thursday

• Retail Sales (MoM Mar)
• InitialJobless Claims(Apr 13)
• Markit US ManufacturingPMI(Preliminary Apr)
• Markit US Services PMI (Preliminary Apr)
• Markit US Composite PMI (Preliminary Apr)
• Leading Index(MoM Mar)
• GermanyPPIReport (Mar)
• JapanCPIReport (Mar)

Friday

• Housing Starts(MoM Mar)
• Building Permits (MoM Mar)

IMPORTANT DISCLOSURES

The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual security. To determine which investment(s) may be appropriate for you, consult your financial advisor prior to investing. The economic forecasts set forth in this material may not develop as predicted.

All indexes are unmanaged and cannot be invested into directly. Unmanaged index returns do not reflect fees, expenses, or sales charges. Index performance is not indicative of the performance of any investment.

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All company names noted herein are for educational purposes only and not an indication of trading intent or a solicitation of their products or services. LPL Financial doesn’t provide research on individual equities.

All performance referenced is historical and is no guarantee of future results.

This research material has been prepared by LPL Financial LLC.

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Index data obtained via FactSet

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