Stocks were mixed on Tuesday morning as investors digested earning reports. Starts of residential units fell to a seasonally adjusted annual rate of 1,321,000 in March, a 14.7% decline from February's revised rate and well short of expectations. Building permits issued also slipped to an annualized 1,458,000, a 4.3% decline from February and also short of expectations. Housing starts declined in all regions with the exception of the West, which rose 7.1%. Building permits issued were flat for units of five or more homes per building, while declining 10.3% for buildings of two to four units, and 5.7% for single-family homes. Regionally, permits issued fell in the Northeast (-20.8%), Midwest (-14.7%), and South (-0.6%), while growing in the West (+5.1%). The Dow was up 0.4%, while the S&P 500 was flat and the Nasdaq rose 0.1%. Crude oil is trading near above $85 per barrel and gold rose $22 to $2405 per ounce.

Stocks were little changed on Friday morning following comments by New York Fed President John Williams that talk of rate cuts is 'premature.' Meanwhile, according to the Empire State Manufacturing Survey, the December manufacturing index dropped 24 points to -14.5 from +9.1 in November. On the earnings front, shares of Costco rose more than 3% after it reported above-consensus fiscal 1Q results. The Dow rose 0.1%, the S&P 500 gained 0.1% and the Nasdaq was up 0.5%. Crude oil traded near $71 per barrel, while gold rose $5 to $2050 per ounce.

U.S. equities rose on Wednesday morning. The Labor Department said that its all-items consumer price index rose 3.7% on a year-over-year basis in August, up from a 3.2% year-over-year increase in and slightly above the consensus forecast of 3.6%. Rising energy prices drove the increase. Excluding food and energy prices, the core CPI rose 4.3% from the prior year, down from 4.7% in July. The S&P 500 rose 0.3%, the Dow 0.2% and the Nasdaq was up 0.5%. Crude oil is trading near $89 per barrel, while gold traded at $1935 per ounce.

Coming up Roses (Maybe): Our Monthly Survey of the Economy, Interest Rates, and Stocks

The Vickers Top Buyers & Sellers is a daily report that identifies the five companies the largest insider purchase transactions based on the dollar value of the transactions as well as the five companies the largest insider sales transactions based on the dollar value of the transactions.

Small- and mid-cap stocks (SMID) have underperformed large-caps over the past 12 months, but may be in a better position to generate market-beating returns going forward. SMID companies tend to focus on domestic markets, so their businesses could be less disrupted by the fallout from the Russian invasion of Ukraine, high European inflation or other geopolitical developments. As well, the prices of SMID stocks generally are lower than the prices of large-caps. SMID stocks can be risky, but diversified investors look to have exposure to small- and mid-caps based on the long-term performance record. We estimate that 12%-15% of the U.S. stock market's capitalization is comprised of SMID stocks. For our purposes, we use a threshold of $15 billion to define a SMID stock.

Stocks rose again on Thursday morning, extending Wednesday's rally. New GDP data was largely in line with expectations. The Commerce Department, in its third estimate, said that the U.S. economy expanded at a 2.6% annualized rate in 4Q, down slightly from its prior estimate of 2.7% and the consensus of 2.7%. First-time unemployment benefit claims rose by 7,000 to 198,000 for the week ended March 25, slightly above the consensus forecast of 196,000. The Dow rose 0.2%, the S&P 0.6%, and the Nasdaq 0.9%. Crude oil rose to $73 per barrel, while gold rose slightly to $1988 per ounce.

Stocks fell on Thursday morning following hawkish comments from Fed officials, a sharp decline in housing starts, and mixed earnings reports. Macy's posted better-than-expected 3Q earnings and raised its full-year outlook, while Kohl's withdrew its guidance after a sharp drop in earnings. On the housing front, the Commerce Department said that U.S. housing starts fell 4.2% in October to a seasonally adjusted 1.425 million, still above the Reuters consensus of 1.410 million. The Dow fell 0.8%, the S&P 1.2%, and the Nasdaq 1.1%. Crude oil fell more than 3% to $82.50 per barrel, while gold fell $15 to $1761 per ounce.

Small- and mid-cap stocks (SMID stocks) have underperformed large-caps over the past 12 months, but still may be in a better position to generate market-beating returns going forward. For one thing, SMID companies tend to focus on domestic markets, so their businesses could be less disrupted by the fallout from the Russian invasion of Ukraine. As well, the prices of SMID stocks generally are lower than the prices of large-caps. SMID stocks can be risky -- and large-caps outperformed SMID stocks in 11 of the 19 years in our test period. Still, despite the risks, diversified investors look to have exposure to small- and mid-caps based on the long-term performance record. We estimate that 12%-15% of the U.S. stock market's capitalization is comprised of SMID stocks. For our purposes, we use a threshold of $20 billion to define a SMID stock.

Stocks fell sharply in volatile trading on Thursday as investors looked ahead to next week's Fed rate hike. Another 75-basis-point increase appears likely as the Fed struggles to control inflation. On the employment front, the Labor Department said that first-time claims for state unemployment benefits fell by 5,000 to 213,000 for the week ended September 10. Claims fell for the fifth straight week and came in below the consensus forecast of 227,000. The Dow fell 0.56%, the S&P 1.13%, and the Nasdaq 1.43%. Crude oil fell $3 to $85 per barrel, while gold dropped sharply to $1673 per ounce.

Stocks were mixed on Wednesday morning after a slightly weaker-than-expected GDP report. In its third and final estimate, the Commerce Department said that the U.S. economy contracted at a 1.6% annualized rate in 1Q. It previously projected a decline of 1.5%. The economy grew at a 6.9% annualized rate in 4Q21. The Dow rose 0.3%, the S&P was flat, and the Nasdaq fell 0.1%. Crude oil rose to $112 per barrel, while gold fell $4 to $1817 per ounce.

Small- and mid-cap stocks (SMID stocks) have underperformed large-caps over the past 12 months, but still may be in a better position to generate market-beating returns going forward. SMID companies tend to focus on domestic markets, so their businesses could be less disrupted by the fallout from the Russian invasion of Ukraine. As well, the prices of SMID stocks generally are lower than the prices of large-caps. That said, SMID stocks can be risky and large-caps outperformed SMID stocks in 11 of the 19 years in our test period. Still, despite the risks, diversified investors look to have exposure to small- and mid-caps based on the long-term performance record. We estimate that 12%-15% of the U.S. stock market's capitalization is comprised of SMID stocks. For our purposes, we use a threshold of $20 billion to define a SMID stock.

The Vickers Top Buyers & Sellers is a daily report that identifies the five companies the largest insider purchase transactions based on the dollar value of the transactions as well as the five companies the largest insider sales transactions based on the dollar value of the transactions.

Stocks rose strongly on Wednesday morning, recouping some of their recent losses. The rally came a day after the U.S. banned all Russian oil and gas imports, and more major consumer companies, including McDonald's, Starbucks, and Coca-Cola, said that they would suspend operations in Russia. On the employment front, the Labor Department said that U.S. job openings held near record levels in January. The department's JOLTS survey reported job openings of 11.26 million, down from 11.4 million in December but above the consensus forecast. The Dow rose 1.8%, the S&P 2.2%, and the Nasdaq 2.8%. Crude oil slipped back to $119 per barrel, while gold fell $36 to $2008 per ounce.

The Vickers Top Buyers & Sellers is a daily report that identifies the five companies the largest insider purchase transactions based on the dollar value of the transactions as well as the five companies the largest insider sales transactions based on the dollar value of the transactions.

The volume of insider transactions has risen to the highest level since March, with over 2,100 insider trades last week that met the criteria for inclusion in Vickers' Weekly Insider report. Below, we dive deeper into the trading activity.

The volume of insider transactions has risen to the highest level since March, with over 2,100 insider trades last week that met the criteria for inclusion in Vickers' Weekly Insider report. Below, we dive deeper into the trading activity.

The Vickers Top Buyers & Sellers is a daily report that identifies the five companies the largest insider purchase transactions based on the dollar value of the transactions as well as the five companies the largest insider sales transactions based on the dollar value of the transactions.

Small- and mid-cap stocks (SMID stocks) soared in 2019. They have underperformed large-caps over the past 12 months, but still may be in a better position to generate market-beating returns going forward. For one thing, SMID companies tend to focus on domestic markets, so their businesses could be poised to rebound more quickly once COVID-19 vaccines are more widely distributed and the domestic service economy recovers. As well, the prices of SMID stocks generally are lower than the prices of large-caps. That said, SMID stocks can be risky. Still, despite the risks, diversified investors look to have exposure to small- and mid-caps based on the long-term performance record. Investors used to use a $2 billion market-cap threshold to define a small-cap stock and a $10 billion threshold for a mid-cap. The Russell 2000 index now includes numerous companies with market capitalizations above $15 billion. For our purposes, we use a threshold of $20 billion to define a SMID stock.

Year-to-date sector leadership remains with the rotation favorites of early 2021. With the long bond spiking from 0.9% at year-end 2020 to 1.75% by the end of the first quarter, growth favorites retreated. But investors wanted to remain invested in equities in a reopening economy, and rotational favorites filled the void.

Stocks rose slightly on Tuesday morning. May existing home sales fell 0.9% to a seasonally adjusted annual rate of 5.80 million units due to low supply and higher prices. Home resales, however, rose 44.6% year-over-year against last year's pandemic lows. Bitcoin fell below $30,000 on China's regulatory actions. The S&P was up 0.3%, the Nasdaq 0.4% and the Dow was up 0.1%. Crude oil traded near $73 per barrel, while gold traded near $1777 per ounce.

Stocks were mostly higher on Friday morning following more bank earnings reports and new housing market data. Morgan Stanley posted strong 1Q earnings that topped consensus expectations, despite a nearly $1 billion loss from the collapse of Archegos Capital. Bank of New York Mellon also reported above-consensus results, though both EPS and revenue declined from the prior year. On the housing front, the Commerce Department said that U.S. housing starts jumped 19.4% to a seasonally adjusted annual rate of 1.739 million units in March, above the Reuters consensus forecast of 1.613 million. In China, the National Statistics Bureau reported first-quarter GDP growth of 18.3% from a depressed 1Q20; however, on a quarter-over-quarter basis, growth slowed to 0.6% from 3.2% in 4Q20. The Dow rose 0.4%, the S&P rose 0.2%, and the Nasdaq was flat. Crude oil traded near $63 per barrel, while gold rose $11 to $1778 per ounce.

The Vickers Top Buyers & Sellers is a daily report that identifies the five companies the largest insider purchase transactions based on the dollar value of the transactions as well as the five companies the largest insider sales transactions based on the dollar value of the transactions.

Small- and mid-cap stocks (SMID stocks) surged in the past quarter. They also have outperformed large-caps over the past 12 months and may be in a better position to generate market-beating returns going forward. For one thing, SMID companies tend to focus on domestic markets, so their businesses could be poised to rebound more quickly once COVID-19 vaccines are widely distributed and the economy recovers. As well, the prices of SMID stocks are generally lower than the prices of large-caps. While SMID stocks can be risky, diversified investors look to have exposure to small- and mid-caps based on the long-term performance record. We estimate that 20%-25% of the U.S. stock market's capitalization is comprised of SMID stocks. Investors used to use a $2 billion market-cap threshold to define a small-cap stock and a $10 billion threshold for a mid-cap. We note that the Russell 2000 index now includes numerous companies with market capitalizations above $15 billion. For our purposes, we use a threshold of $20 billion to define a SMID stock.

Small- and mid-cap stocks (SMID stocks) surged in the past quarter. They also have outperformed large-caps over the past 12 months and may be in a better position to generate market-beating returns going forward. For one thing, SMID companies tend to focus on domestic markets, so their businesses could be poised to rebound more quickly once COVID-19 vaccines are widely distributed and the economy recovers. As well, the prices of SMID stocks are generally lower than the prices of large-caps. While SMID stocks can be risky, diversified investors look to have exposure to small- and mid-caps based on the long-term performance record. We estimate that 20%-25% of the U.S. stock market's capitalization is comprised of SMID stocks. Investors used to use a $2 billion market-cap threshold to define a small-cap stock and a $10 billion threshold for a mid-cap. We note that the Russell 2000 index now includes numerous companies with market capitalizations above $15 billion. For our purposes, we use a threshold of $20 billion to define a SMID stock.

Stocks finished mixed on Thursday as disappointing employment data again pointed to a slowing economic recovery. First-time claims for state unemployment benefits rose above the 800,000 mark for the first time since September and came in well above the consensus forecast. Continuing claims of 5.757 million also rose from the prior week and exceeded the consensus of 5.210 million. The Dow fell 0.23%, the S&P fell 0.13%, and the Nasdaq rose 0.54%. Crude oil rose to $47 per barrel, while gold rose $1 to $1840 per ounce.

Stocks moved lower on Friday, finishing off a week that saw all major indexes close down. The declines were modest across the board, but riskier assets performed slightly worse than value stocks. On Friday, the Dow Jones Industrial Average fell 245 points, or 0.9%. The S&P 500 and the Nasdaq Composite were both down 1.1% on the day. For the full week, the Dow was flat, and the S&P 500 and the Nasdaq were both down 0.6%. With last week's drop, the stock market declined three weeks in a row; that also happened in September 2019. For the year-to-date, the DJIA is down 3.1%, the S&P is up 2.8%, and the Nasdaq is up 20.3%. Over the past 52 weeks, the Dow is up 2.7%, the S&P 500 is up 10.9%, and the Nasdaq is up 33.0%.

Stocks moved lower on Friday, finishing off a week that saw all major indexes close down. The declines were modest across the board, but riskier assets performed slightly worse than value stocks. On Friday, the Dow Jones Industrial Average fell 245 points, or 0.9%. The S&P 500 and the Nasdaq Composite were both down 1.1% on the day. For the full week, the Dow was flat, and the S&P 500 and the Nasdaq were both down 0.6%. With last week's drop, the stock market declined three weeks in a row; that also happened in September 2019. For the year-to-date, the DJIA is down 3.1%, the S&P is up 2.8%, and the Nasdaq is up 20.3%. Over the past 52 weeks, the Dow is up 2.7%, the S&P 500 is up 10.9%, and the Nasdaq is up 33.0%.

Large-caps have outperformed over the past 12 months, but small- and mid-caps may be in a better position to generate market-beating returns going forward. For one thing, many smaller companies often are more focused on domestic operations and may not be exposed to the global economic uncertainty caused by the coronavirus. For another, prior to COVID-19, the long-term record favored small-caps over large-caps. From 2003-2019, the Russell 2000 Index had climbed 282%, compared to an advance of 233% for the Russell 1000 Index. In 2020, a relatively weak performance by the Russell 2000 Index has brought the measures more in line for the year-to-date. SP despite risks associated with smaller-cap stocks, diversified investors look to have exposure to small- and mid-caps based on the long-term performance record. We estimate that 15%-20% of the U.S. stock market's capitalization is comprised of small- and mid-cap stocks.

Back to...New Beginnings?

Large-caps have outperformed over the past 12 months, but small- and mid-caps may be in a better position to generate market-beating returns going forward. For one thing, many smaller companies often are more focused on domestic operations and may not be exposed to the global economic uncertainty caused by the coronavirus. For another, prior to COVID-19, the long-term record favored small-caps over large-caps. From 2003-2019, the Russell 2000 Index had climbed 282%, compared to an advance of 233% for the Russell 1000 Index. In 2020, a relatively weak performance by the Russell 2000 Index has brought the measures more in line for the year-to-date. SP despite risks associated with smaller-cap stocks, diversified investors look to have exposure to small- and mid-caps based on the long-term performance record. We estimate that 15%-20% of the U.S. stock market's capitalization is comprised of small- and mid-cap stocks.

Back to...New Beginnings?

Labor Department said that the U.S. economy added 273,000 nonfarm payroll jobs last month, well above the Reuters consensus forecast of 175,000. January payrolls were also revised upward to 273,000 from a prior estimate of 225,000. The official unemployment rate fell slightly to 3.5% from 3.6%. However, the February report did not capture the full impact of the coronavirus, which has been more widely recognized over the last week. The S&P fell 2.5%, the Dow 2.2%, and the Nasdaq 2.4%. Crude oil dropped nearly $4 to $42 per barrel, while gold fell slightly to $1666 per ounce.

Labor Department said that the U.S. economy added 273,000 nonfarm payroll jobs last month, well above the Reuters consensus forecast of 175,000. January payrolls were also revised upward to 273,000 from a prior estimate of 225,000. The official unemployment rate fell slightly to 3.5% from 3.6%. However, the February report did not capture the full impact of the coronavirus, which has been more widely recognized over the last week. The S&P fell 2.5%, the Dow 2.2%, and the Nasdaq 2.4%. Crude oil dropped nearly $4 to $42 per barrel, while gold fell slightly to $1666 per ounce.

Stocks moved lower on Friday, finishing off a week that saw all major indexes close down. The declines were modest across the board, but riskier assets performed slightly worse than value stocks. On Friday, the Dow Jones Industrial Average fell 245 points, or 0.9%. The S&P 500 and the Nasdaq Composite were both down 1.1% on the day. For the full week, the Dow was flat, and the S&P 500 and the Nasdaq were both down 0.6%. With last week's drop, the stock market declined three weeks in a row; that also happened in September 2019. For the year-to-date, the DJIA is down 3.1%, the S&P is up 2.8%, and the Nasdaq is up 20.3%. Over the past 52 weeks, the Dow is up 2.7%, the S&P 500 is up 10.9%, and the Nasdaq is up 33.0%.

Back to...New Beginnings?

Large-caps have outperformed over the past 12 months, but small- and mid-caps may be in a better position to generate market-beating returns going forward. For one thing, many smaller companies often are more focused on domestic operations and may not be exposed to the global economic uncertainty caused by the coronavirus. For another, prior to COVID-19, the long-term record favored small-caps over large-caps. From 2003-2019, the Russell 2000 Index had climbed 282%, compared to an advance of 233% for the Russell 1000 Index. In 2020, a relatively weak performance by the Russell 2000 Index has brought the measures more in line for the year-to-date. SP despite risks associated with smaller-cap stocks, diversified investors look to have exposure to small- and mid-caps based on the long-term performance record. We estimate that 15%-20% of the U.S. stock market's capitalization is comprised of small- and mid-cap stocks.

Labor Department said that the U.S. economy added 273,000 nonfarm payroll jobs last month, well above the Reuters consensus forecast of 175,000. January payrolls were also revised upward to 273,000 from a prior estimate of 225,000. The official unemployment rate fell slightly to 3.5% from 3.6%. However, the February report did not capture the full impact of the coronavirus, which has been more widely recognized over the last week. The S&P fell 2.5%, the Dow 2.2%, and the Nasdaq 2.4%. Crude oil dropped nearly $4 to $42 per barrel, while gold fell slightly to $1666 per ounce.

Stocks rose on Friday against the backdrop of healthy earnings results and reports of progress on phase I of a China trade, pushing the S&P 500 to within 0.1% of a record close. The Dow Jones Industrial Average climbed 0.6%, the Nasdaq Composite was up 0.7%, while the S&P 500 added 0.4%. With a third-quarter earnings season unfolding better than expected, stocks also maintained momentum for the week, finishing with gains of 1.9% for the Nasdaq, 1.2% for the S&P 500 and 0.7% for the Dow. Year-to-date, the major benchmarks now stand with gains of 15.6% for the Dow, 24.2% for the Nasdaq and 20.6% for the S&P 500.

Stocks rose on Friday against the backdrop of healthy earnings results and reports of progress on phase I of a China trade, pushing the S&P 500 to within 0.1% of a record close. The Dow Jones Industrial Average climbed 0.6%, the Nasdaq Composite was up 0.7%, while the S&P 500 added 0.4%. With a third-quarter earnings season unfolding better than expected, stocks also maintained momentum for the week, finishing with gains of 1.9% for the Nasdaq, 1.2% for the S&P 500 and 0.7% for the Dow. Year-to-date, the major benchmarks now stand with gains of 15.6% for the Dow, 24.2% for the Nasdaq and 20.6% for the S&P 500.

Large-caps have outperformed over the past 12 months, but small- and mid-caps may be in a better position to generate market-beating returns going forward. For one thing, most smaller companies are often more focused on domestic operations and may not be exposed to the uncertainty surrounding the ongoing trade wars. For another, the long-term record favors small-caps over large-caps. Since 2003, the Russell 2000 Index has climbed 260%, compared to an advance of 189% for the Russell 1000 Value Index. But small-caps can be risky. Large-caps outperformed small-caps in nine of the 16 years of our test period. Annual returns were negative four times for both indices, but the average decline for small-caps was 18% in down years versus an average 12% annual decline for large-caps in down years. The standard deviation for monthly returns was 5.29% for small-caps over the 15-year period, versus 3.89% for large-caps. Still, despite the risks, diversified investors look to have exposure to small- and mid-caps based on the long-term performance record. We estimate that 15%-20% of the U.S. stock market's capitalization is comprised of small- and mid-cap stocks.

Large-caps have outperformed over the past 12 months, but small- and mid-caps may be in a better position to generate market-beating returns going forward. For one thing, most smaller companies are often more focused on domestic operations and may not be exposed to the uncertainty surrounding the ongoing trade wars. For another, the long-term record favors small-caps over large-caps. Since 2003, the Russell 2000 Index has climbed 260%, compared to an advance of 189% for the Russell 1000 Value Index. But small-caps can be risky. Large-caps outperformed small-caps in nine of the 16 years of our test period. Annual returns were negative four times for both indices, but the average decline for small-caps was 18% in down years versus an average 12% annual decline for large-caps in down years. The standard deviation for monthly returns was 5.29% for small-caps over the 15-year period, versus 3.89% for large-caps. Still, despite the risks, diversified investors look to have exposure to small- and mid-caps based on the long-term performance record. We estimate that 15%-20% of the U.S. stock market's capitalization is comprised of small- and mid-cap stocks.

Another Fed day has come and gone after the second 25 basis-point rate cut, so now everyone can start forecasting what will happen at the next meeting. As we have said, the market has already cut interest rates along the whole curve, so the Fed is just following the market.

Another Fed day has come and gone after the second 25 basis-point rate cut, so now everyone can start forecasting what will happen at the next meeting. As we have said, the market has already cut interest rates along the whole curve, so the Fed is just following the market.

The major indices are mixed at midday on Monday with the Nasdaq being pulled down by mega-cap tech stocks. Pfizer is expected to announce today that it will combine one of its divisions with Mylan in a move that will create a new company focused on generic drugs. Industries doing well today include Leisure Products, Road & Rail, and Diversified Consumer Services. Industries showing weakness include Energy Equipment & Services, Internet & Direct Marketing Retail, and Wireless Telecommunication Services. The VIX is up 0.82 to 12.98 after the previous close of 12.16. The Dow rose 0.3%, the S&P fell 0.1%, and the Nasdaq fell 0.6%. Crude oil fell slightly to about $56 per barrel, while gold traded near $1420 per ounce.

The major indices are mixed at midday on Monday with the Nasdaq being pulled down by mega-cap tech stocks. Pfizer is expected to announce today that it will combine one of its divisions with Mylan in a move that will create a new company focused on generic drugs. Industries doing well today include Leisure Products, Road & Rail, and Diversified Consumer Services. Industries showing weakness include Energy Equipment & Services, Internet & Direct Marketing Retail, and Wireless Telecommunication Services. The VIX is up 0.82 to 12.98 after the previous close of 12.16. The Dow rose 0.3%, the S&P fell 0.1%, and the Nasdaq fell 0.6%. Crude oil fell slightly to about $56 per barrel, while gold traded near $1420 per ounce.

Stocks closed higher on Friday, rebounding from steep morning losses on news reports of progress on a trade deal with China. The Dow Jones Industrial Average climbed 472 points from its morning low to end 114 points higher (a rise of 0.44% for the day), with the S&P 500 rising 0.37% and the Nasdaq Composite adding 0.80%. The week was characterized by high volatility, with investors reacting to signs of perceived progress or setback on China trade talks. Friday's modest rebound, however, was unable to overcome a string of four negative trading sessions going into Friday. For the week, the DJIA lost 2.1%, while the S&P 500 and Nasdaq declined 2.2% and 3.0%, respectively. Year-to-date gains were trimmed to 11.2% for the DJIA, 19.3% for the Nasdaq and 14.9% for the S&P 500.

Stocks closed higher on Friday, rebounding from steep morning losses on news reports of progress on a trade deal with China. The Dow Jones Industrial Average climbed 472 points from its morning low to end 114 points higher (a rise of 0.44% for the day), with the S&P 500 rising 0.37% and the Nasdaq Composite adding 0.80%. The week was characterized by high volatility, with investors reacting to signs of perceived progress or setback on China trade talks. Friday's modest rebound, however, was unable to overcome a string of four negative trading sessions going into Friday. For the week, the DJIA lost 2.1%, while the S&P 500 and Nasdaq declined 2.2% and 3.0%, respectively. Year-to-date gains were trimmed to 11.2% for the DJIA, 19.3% for the Nasdaq and 14.9% for the S&P 500.

Stocks rose on Friday, aided by optimism over a China trade deal and strength in semiconductor stocks. The Dow Jones Industrial Average and S&P 500 both rose 0.5%, while the Nasdaq Composite added 0.8%. The major benchmarks also had a strong week, with gains of 3.8% for the Nasdaq and 2.9% for the S&P 500. The Dow lagged with a 1.6% rise as component Boeing dealt with the grounding of one of its best-selling planes. Year-to-date gains are now 10.8% for the Dow, 15.9% for the Nasdaq and 12.6% for the S&P 500.

Stocks rose on Friday, aided by optimism over a China trade deal and strength in semiconductor stocks. The Dow Jones Industrial Average and S&P 500 both rose 0.5%, while the Nasdaq Composite added 0.8%. The major benchmarks also had a strong week, with gains of 3.8% for the Nasdaq and 2.9% for the S&P 500. The Dow lagged with a 1.6% rise as component Boeing dealt with the grounding of one of its best-selling planes. Year-to-date gains are now 10.8% for the Dow, 15.9% for the Nasdaq and 12.6% for the S&P 500.

Stocks rose on Friday, aided by optimism over a China trade deal and strength in semiconductor stocks. The Dow Jones Industrial Average and S&P 500 both rose 0.5%, while the Nasdaq Composite added 0.8%. The major benchmarks also had a strong week, with gains of 3.8% for the Nasdaq and 2.9% for the S&P 500. The Dow lagged with a 1.6% rise as component Boeing dealt with the grounding of one of its best-selling planes. Year-to-date gains are now 10.8% for the Dow, 15.9% for the Nasdaq and 12.6% for the S&P 500.

Large-caps have outperformed over the past 12 months, but small- and mid-caps may be in a better position to generate returns going forward. For one thing, most smaller companies are often more focused on domestic operations and may not be exposed to the uncertainty surrounding the trade wars. For another, the long-term record favors small-caps over large-caps. Since 2003, the Russell 2000 Index has climbed 260%, compared to an advance of 189% for the Russell 1000 Value Index. But small-caps can be risky.

Large-caps have outperformed over the past 12 months, but small- and mid-caps may be in a better position to generate returns going forward. For one thing, most smaller companies are often more focused on domestic operations and may not be exposed to the uncertainty surrounding the trade wars. For another, the long-term record favors small-caps over large-caps. Since 2003, the Russell 2000 Index has climbed 260%, compared to an advance of 189% for the Russell 1000 Value Index. But small-caps can be risky.

Argus has published its latest Portfolio Selector, which features its popular Focus List of timely investment ideas. Each month, Director of Research Jim Kelleher, CFA, surveys the team of Argus Research industry analysts for their timeliest recommendations out of the company's fundamental universe of approximately 460 stocks. The Focus List typically includes 30 stocks: turnover is high, as Director of Research Kelleher typically adds three or four new stocks per month. Performance information on the Focus List picks is available in our bi-annual Argus Performance Review. Below are the latest additions, all of which are rated BUY.

Argus has published its latest Portfolio Selector, which features its popular Focus List of timely investment ideas. Each month, Director of Research Jim Kelleher, CFA, surveys the team of Argus Research industry analysts for their timeliest recommendations out of the company's fundamental universe of approximately 460 stocks. The Focus List typically includes 30 stocks: turnover is high, as Director of Research Kelleher typically adds three or four new stocks per month. Performance information on the Focus List picks is available in our bi-annual Argus Performance Review. Below are the latest additions, all of which are rated BUY.

The Portfolio Selector features the Argus Focus List, a group of 30 "best idea" stocks generated and regularly updated by Argus' analysts and investment policy committee. It also includes the director of research’s monthly investment strategy column, stock recommendations and sector picks, economic forecasts, and an asset allocation model. This month, the Focus List additions are Northrop Grumman Corp (NOC); AstraZeneca PLC (AZN); Walmart Inc (WMT); Starbucks Corp (SBUX) and the Focus List deletions are Integra Lifesciences Hldgs Cor (IART); J.B.Hunt Transport Servs In (JBHT); Unilever NV (UN); Yum Brands Inc (YUM).

The Portfolio Selector features the Argus Focus List, a group of 30 "best idea" stocks generated and regularly updated by Argus' analysts and investment policy committee. It also includes the director of research’s monthly investment strategy column, stock recommendations and sector picks, economic forecasts, and an asset allocation model. This month, the Focus List additions are Northrop Grumman Corp (NOC); AstraZeneca PLC (AZN); Walmart Inc (WMT); Starbucks Corp (SBUX) and the Focus List deletions are Integra Lifesciences Hldgs Cor (IART); J.B.Hunt Transport Servs In (JBHT); Unilever NV (UN); Yum Brands Inc (YUM).

Another Fed day has come and gone after the second 25 basis-point rate cut, so now everyone can start forecasting what will happen at the next meeting. As we have said, the market has already cut interest rates along the whole curve, so the Fed is just following the market.

Large-caps have outperformed over the past 12 months, but small- and mid-caps may be in a better position to generate market-beating returns going forward. For one thing, most smaller companies are often more focused on domestic operations and may not be exposed to the uncertainty surrounding the ongoing trade wars. For another, the long-term record favors small-caps over large-caps. Since 2003, the Russell 2000 Index has climbed 260%, compared to an advance of 189% for the Russell 1000 Value Index. But small-caps can be risky. Large-caps outperformed small-caps in nine of the 16 years of our test period. Annual returns were negative four times for both indices, but the average decline for small-caps was 18% in down years versus an average 12% annual decline for large-caps in down years. The standard deviation for monthly returns was 5.29% for small-caps over the 15-year period, versus 3.89% for large-caps. Still, despite the risks, diversified investors look to have exposure to small- and mid-caps based on the long-term performance record. We estimate that 15%-20% of the U.S. stock market's capitalization is comprised of small- and mid-cap stocks.

The major indices are mixed at midday on Monday with the Nasdaq being pulled down by mega-cap tech stocks. Pfizer is expected to announce today that it will combine one of its divisions with Mylan in a move that will create a new company focused on generic drugs. Industries doing well today include Leisure Products, Road & Rail, and Diversified Consumer Services. Industries showing weakness include Energy Equipment & Services, Internet & Direct Marketing Retail, and Wireless Telecommunication Services. The VIX is up 0.82 to 12.98 after the previous close of 12.16. The Dow rose 0.3%, the S&P fell 0.1%, and the Nasdaq fell 0.6%. Crude oil fell slightly to about $56 per barrel, while gold traded near $1420 per ounce.

Stocks closed higher on Friday, rebounding from steep morning losses on news reports of progress on a trade deal with China. The Dow Jones Industrial Average climbed 472 points from its morning low to end 114 points higher (a rise of 0.44% for the day), with the S&P 500 rising 0.37% and the Nasdaq Composite adding 0.80%. The week was characterized by high volatility, with investors reacting to signs of perceived progress or setback on China trade talks. Friday's modest rebound, however, was unable to overcome a string of four negative trading sessions going into Friday. For the week, the DJIA lost 2.1%, while the S&P 500 and Nasdaq declined 2.2% and 3.0%, respectively. Year-to-date gains were trimmed to 11.2% for the DJIA, 19.3% for the Nasdaq and 14.9% for the S&P 500.

Stocks rose on Friday, aided by optimism over a China trade deal and strength in semiconductor stocks. The Dow Jones Industrial Average and S&P 500 both rose 0.5%, while the Nasdaq Composite added 0.8%. The major benchmarks also had a strong week, with gains of 3.8% for the Nasdaq and 2.9% for the S&P 500. The Dow lagged with a 1.6% rise as component Boeing dealt with the grounding of one of its best-selling planes. Year-to-date gains are now 10.8% for the Dow, 15.9% for the Nasdaq and 12.6% for the S&P 500.

The major indices are up strongly at midday on Wednesday following the results of the midterm elections. With the overall results largely meeting consensus expectations, traders will be keeping an eye on the Federal Reserve meeting tomorrow and the possibility of additional interest rate hikes in the near future. Industries doing well today include Construction Materials, Health Care Providers & Services, and Software. Industries showing weakness include Personal Products, Electrical Equipment, and Energy Equipment & Services. The VIX is down 2.77 to 17.14 after the previous close of 19.91. The Dow rose 1.3%, the S&P 1.5%, and the Nasdaq 2.2%. Crude oil rose slightly to about $62 per barrel, while gold traded near $1231 per ounce.

The major indices are up strongly at midday on Wednesday following the results of the midterm elections. With the overall results largely meeting consensus expectations, traders will be keeping an eye on the Federal Reserve meeting tomorrow and the possibility of additional interest rate hikes in the near future. Industries doing well today include Construction Materials, Health Care Providers & Services, and Software. Industries showing weakness include Personal Products, Electrical Equipment, and Energy Equipment & Services. The VIX is down 2.77 to 17.14 after the previous close of 19.91. The Dow rose 1.3%, the S&P 1.5%, and the Nasdaq 2.2%. Crude oil rose slightly to about $62 per barrel, while gold traded near $1231 per ounce.

Stocks rose on Friday against the backdrop of healthy earnings results and reports of progress on phase I of a China trade, pushing the S&P 500 to within 0.1% of a record close. The Dow Jones Industrial Average climbed 0.6%, the Nasdaq Composite was up 0.7%, while the S&P 500 added 0.4%. With a third-quarter earnings season unfolding better than expected, stocks also maintained momentum for the week, finishing with gains of 1.9% for the Nasdaq, 1.2% for the S&P 500 and 0.7% for the Dow. Year-to-date, the major benchmarks now stand with gains of 15.6% for the Dow, 24.2% for the Nasdaq and 20.6% for the S&P 500.