Wages

Real wages—that is, wages adjusted for inflation—have resumed rising after a dip in 2016. This trend reflects tight labor market conditions and increased inflationary pressures. In addition, a number of large employers have reported raising wage rates as a result of the federal corporate tax cuts.

U.S. & World Equity Indexes; 9/25/18; YTD Return
S&P
 500; 2,930; 9.20%
Dow
 Jones Industrials; 26,743; 7.50%
Nasdaq
 Composite; 8,109; 15.80%
Shanghai
 Composite (China); 2,797; −15.40%
S&P
 BSE Sensex (India); 36,305; 6.60%
Nikkei
 Stock Avg (Japan); 23,869; 4.90%
CAC
 40 (France); 5,476; 3.10%
DAX
 (Germany); 12,350; −4.40%
FTSE
 100 (U.K.); 7,458; -3.00%
Selected Interest Rates; 9/25/18; 8/28/18
15-Year
 Mortgage; 4.11%; 3.98%
30-Year
 Mortgage; 4.65%; 4.51%
5-Year
 Treasury Bond; 2.96%; 2.77%
10-Year
 Treasury Bond; 3.08%; 2.88%
30-Year
 Treasury Bond; 3.21%; 3.03%
Key Economic Statistics; Most Recent; Prior Month
National
Producer

 Price Index; -0.10%; 0.00%
Consumer
 Price Index; 0.20%; 0.20%
Unemployment
 Rate; 3.90%; 3.90%
ISM
 Manufacturing Index; 61.30; 58.10
ISM
 Services Index; 58.50; 55.70
Change
 in Non-Farm Payroll Emp.; 201,000; 157,000
New
 York State
Consumer
 Price Index - NY, NJ, CT; 0.10%; 0.00%
Unemployment
 Rate; 4.20%; 4.30%
NYS
 Index of Coincident Indicators; 8.20%; 6.40%

Unemployment

As the labor market has tightened, the number of persons seeking unemployment benefits has dropped. This is a continuation of the long-term trend that began after the end of the Great Recession of 2008/09.

Equity Market Statistics; Most Recent; Prior Month
Dow
 Jones Industrials; 9/25/18; 9/28/18
Dividend
 Yield; 2.21%; 2.26%
Price/Earnings
 (12 Mth Trailing); 23.00; 23.23
Price/Earnings
 (Projected); 16.7; 16.41
S&P
 500 Index; 9/25/18; 8/28/18
Dividend
 Yield; 1.89%; 1.94%
Price/Earnings
 (12 Mth Trailing); 22.88; 22.88
Price/Earnings
 (Projected); 17.33; 16.84

The information herein was obtained from various sources believed to be accurate; however, Forté Capital does not guarantee its accuracy or completeness. This report was prepared for general information purposes only. Neither the information nor any opinion expressed constitutes an offer to buy or sell any securities, options, or futures contracts. Forté Capital’s Proprietary Market Risk Barometer is a summary of 30 indicators and is copyrighted by Forté Capital LLC. For further information, visit www.fortecapital.com, send a message to [email protected], or call 866-586-8100 and ask for David W. Henion, CPA, or Larry H. Rabinowitz, CPA/PFS.