US Stocks rose 2% last week and are now within 2% of their all-time-high. This week investors are eagerly awaiting the beginning of the 1st quarter earnings season which starts today.
Shares of Boeing are lower after the company announced they are cutting production of 737 Max jets as the company moves quickly to finalize a fix that will get the grounded aircraft flying again. Boeing’s monthly production of the Max jets, involved in two crashes since October, is dropping by 20 percent from the current level of 52 a month to 42 a month.
Consumer borrowing decelerated but only slightly in February, according to the Federal Reserve. Total consumer credit increased $15.2 billion in February to a seasonally adjusted $4 trillion. That’s an annual growth rate of 4.5%. Consumer spending decelerated in the first quarter in the wake of the stock-market rout in final three months of 2018. But spending will still likely add to first-quarter growth.
The labor market here in the US remains strong and economists contend the strong labor market is likely to keep wages rising at a 3% pace or even faster even though the U.S. economy has slowed. Layoffs and unemployment sit near a 50-year low, they point out, and the number of open jobs is still 1.3 million higher than the number of Americans classified as unemployed.