October 5, 2015
positive week (S&P 500 +1.0%) with a strong Monday follow-through to boot, despite
a weaker than expected jobs report. Stocks are still subject to wild price
swings, indicative of the current fragility of the markets.
US economic growth accelerated in Q2, and remains solid in Q3. Jobs growth is ok, even considering last week’s data. Consumer spending is up and housing data has picked up. US auto makers are on pace to set an all-time record for vehicle sales in 2015.
The next several weeks will reveal earnings for Q3, and early results are above expectations. Overall, growth will decline year over year (-4.2%), but Energy and Materials sectors are the culprits. Without these two bummers, overall growth will be +4.0%.
St. Louis Ram’s super rookie Todd Gurley is finally healthy and we saw a glimpse of his talent, shredding the mighty Arizona Cardinals’ defense for 146 rushing yards. If they can consistently produce on offense to go along with that nasty D, the Rams could be a legit contender in the NFC West. UCLA and USC both dropped conference losses in the last couple of weeks to drop into the lower half of the Top 20. But still plenty of games left for both to climb back up in the polls and make their annual rivalry game nationally relevant. Stay tuned!