Investment Review - November 2024
- The major U.S. stock indices decreased slightly in value in the month of October. The Dow Jones Industrial Average price return was down -1.3%, the S&P 500 -0.99%, and the NASDAQ Composite declined by -0.52%.
- So far this quarter, S&P 500 companies are impressing when it comes to earnings releases outpacing analysts’ estimates with approximately 79% of the companies reporting earnings that were better than expected. Top line or revenue growth, on the other hand, has failed to keep pace. Approximately 59% of the companies that have reported this quarter have reported revenue that was better than analysts’ expectations. If this trend continues, it will be the lowest since the first quarter of 2020.
- U.S. Treasury bond yields pushed higher on the month, wrapping up one of their biggest monthly declines in two years. The rout has lifted most treasury yields by more than 50 basis points across the curve. The move suggests a less aggressive Federal Reserve with respects to interest-rate cuts going forward as the U.S. economy has outperformed market expectations.
Key Investment Statistics
Sources: Bloomberg, Bureau of Labor Statistics, Institutional Brokers’ Estimate System (I/B/E/S), FactSet, U.S. Federal Reserve, Dow Jones Publishing
Disclosure: This commentary reflects the opinions of Welch & Forbes based on information that we believe to be reliable. It is intended for informational purposes only, and not to suggest any specific performance or results, nor should it be considered investment, financial, tax or other professional advice. It is not an offer or solicitation.
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