Wall Street Strategies
Hello! Sign in or Register


Afternoon Note

Market Remains Sluggish

By Charles Payne, CEO & Principal Analyst
2/27/2019 1:03 PM
Take a Free Trial
Try Charles' premium stock selection services free for 7 days. Check it out in real time! You will get actionable advice, trading ideas and email alerts.

Investors are rubbernecking three separate events on Capitol Hill today.

Meanwhile, only two sectors are higher, but all major indices are up from lows of the session. 

S&P 500 Index

-0.22%

Communication Services (XLC)

-0.72%

Consumer Discretionary (XLY)

-0.23%

Consumer Staples (XLP)

-0.37%

Energy (XLE)

+0.62%

Financials (XLF)

+0.25%

Health Care (XLV)

-0.34%

Industrials (XLI)

-0.09%

Materials (XLB)

-0.25%

Real Estate (XLRE)

-0.89%

Technology (XLK)

-0.34%

Utilities (XLU)

-0.04%

 

During his second day of Humphrey Hawkins testimony, Federal Reserve Chairman Jay Powell faced the usual array of politically charged questions often set up by political commentary.

Many times these comments are exaggerated or completely incorrect.  Take comments from California Rep Brad Sherman who rebuffed Chairman Powell's observation we have a good jobs market by pointing to the 20-year wage slump and remarking that until that turns higher, the job market isn't good.

Well, wages have turned higher and are significantly outpacing inflation, which is another automatic talking point we will hear on the 2020 presidential campaign trail, even though it’s not true anymore. 

Interestingly, these comments are on the same day the Dallas Fed released a report suggesting wages are growing even faster when using different metrics. From Dallas Fed:

To investigate this, we examine how the AHE is constructed and why this measure leads to a conservative estimate of underlying wage growth. When we compare AHE growth from the BLS with a measure of individual wage growth derived using Current Population Survey (CPS) data from the Census Bureau, the magnitude of the understatement becomes apparent.

Because AHE has a central role in wage growth analyses, we show that actual wage growth is higher than we think. In a subsequent article, we will show that the average growth of individual wages is likely even stronger

The market remains sluggish, but the underlying resolve also remains in place.  


Comments
Charles, we keep hearing Michael Cohen has a LIARS HISTORY and can't believe ANYTHING THAT HE SAYS , JUST A WEASEL TO GET OUT OF OTHER SENTENCES AND PRISON TIME. AS he is said to be helping NY AGAINST president Trump. But , is Michael Cohen REALLY a PREP CHEF? MICHAEL COHEN keeps commenting about being a great salad tossed? Oh well hope he STARTS his prison sentence on the bottom, & NEVER makes it back as a top , no matter what he does for others..

J on 2/27/2019 1:30:08 PM
I'm heading out to do my show and I'm thrilled with what's happening in this country for all Americans. I say lets wait for the Mueller probe to end and go from there but the dog and pony show on Capitol Hill is an embarrassment for all of us. CP

Charles Payne on 2/27/2019 1:39:00 PM
 

Add Your Comment


Submitted comments are subject to moderation before posting.


Home | Products & Services | Education | In The Media | Help | About Us |
Disclaimer | Privacy Policy | Terms of Use |
All Rights Reserved.