Market Update Report 10/5/2015

October 5, 2015
The KUIK Market Update for Monday, October 5:
Markets are up.
Index Direction Change Units Time Change
Dow Up                    174  points           16,647 8:01 AM
S&P500 Up 1.2% percent             1,974      22.90
Nasdaq Composite Up 1.0% percent             4,755      46.81
30 Year Treasury Up                       3 Basis Points               2.86 Annual Yield
The Institute for Supply Management said its services index slowed in September to a three-month low of 56.9%. A similar index from Markit also fell a three-month low, of 55. The readings are still above 50, indicating expansion but it shows that the services side of the U.S. economy is catching cold from the stronger dollar, China’s economy slowing,  and collapse in energy prices, that have hammered the manufacturing side.
The World Bank expects China’s economy to grow 7.0% this year and gradually slow over the next two years, according to a report released today. Sustained reforms in China will support a rebalancing of local demand from investment to consumption, it said. it expects China to grow 6.7% in 2016.
The outlook for the U.S. apparel and footwear industry has deteriorated thanks to the strong dollar, which is denting earnings and sales, Moody’s Investors Service said Monday. “The strong dollar has discouraged spending by tourists to the United States, impacting sales at brands such as Ralph Lauren and Calvin Klein, dragging on apparel sales.” The outlook for the overall sector has been revised down to stable from positive.
Serving the West Side first, I am Bill Roller of BR Capital for 1360 KUIK.
http://www.marketwatch.com/story/bernanke-more-execs-should-have-gone-to-jail-after-financial-crisis-2015-10-05
http://www.marketwatch.com/story/world-bank-sees-china-slowing-over-next-2-years-2015-10-05
http://www.marketwatch.com/story/outlook-for-us-apparel-and-footwear-industry-is-weaker-as-dollar-strength-dents-earnings-moodys-2015-10-05
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