$Stock*Shop*Charts*News*Option$

[DiscoverGold]

Jeffrey Saut: The call for this week

* January 23, 2017

Saving retirement

It will, of course, be President Trump’s first full week in office and much of the attention will remain on him, his cabinet nominees, and what will be done during the first 100 days of his administration. However, it will also be an extremely busy week for earnings releases, with 70 S&P 500 companies reporting, including 12 of the 30 Dow components. Investors will not only be watching for continued signs of improving sales and earnings, but also will closely analyze just what management teams are saying about their outlook for their businesses under the new administration. Again, it is still early in the season, but so far the big policy topics cited on earnings calls have, not surprisingly, been tax policy and regulation, with 11 and 8 mentions, respectively, per FactSet data (Chart 2). There has also been double the amount of positive guidance issued than negative guidance, which is a favorable departure from the last few quarters where negative guidance dominated, and this trend will hopefully continue. We will also get the first estimate for 4Q GDP on Friday, and though this number will be revised several times in the future, it always draws plenty of attention. So, there is plenty to watch this week and plenty of news flow to finally break the market out of its slumber, but, of course, the market has also stayed plenty stubborn recently. There is still a chance with Dow 20,000 just sitting there right above us that the market rallies just enough to take that out, but we continue to believe stocks may have limited upside without some sort of pullback first. Therefore, remain careful and cautious and don’t forget to save for retirement!

https://www.raymondjames.com/wealth-management/market-commentary-and-insights/investment-strategy

• DiscoverGold

Click on "In reply to", for Authors past commentaries