The Morning View: November 12, 2020

BY: MARSHALL BARTLETT
Senior Vice President / Portfolio Manager

Announced this morning, Initial Jobless Claims were 709,000 for the week ending November 7th, lower than estimates and Continuing Claims were 6,786,000 for the week ending October 31st, also lower than expected.  Meanwhile, the Consumer Price Index was flat in October and up 1.2% on an annual basis, slightly lower than expected.  Prices for Apparel and Medical Care commodities were lower for the month, while Electricity prices increased.  The core rate, which excludes food and energy prices, was also flat for October and up 1.6% on an annual basis.  Overall, the labor market continues its improving trend due to COVID-19 but remains at very elevated levels, indicating it will take time to recover.  As core prices remain well below the 2% average target by the Federal Reserve, it continues to justify accommodative policy for the foreseeable future.  In all, bond yields are little changed and equity futures are mixed we head into the market open.

This material is intended to be for informational purposes only and is intended for current or prospective clients of Argent Trust Company. This information is obtained from sources believed to be reliable, and its accuracy and completeness are not guaranteed. Information does not constitute a recommendation of any investment strategy, is not intended as investment advice, and does not take into account all the circumstances of each investor. Forward-looking assumptions are Argent Trust Company’s current estimates or expectations of future events or future results based on proprietary research and should not be construed as an estimate or promise of results that a portfolio may achieve. Actual results could differ materially from the results indicated by this information. Investments can go down as well as up. Past performance is not a reliable indicator of future results.