Geopolitical, Trade Tensions Continue; Wall Street Remains Positive
Originally published: 06.18.18 by Margot Crabtree
Our session was book-ended with the Korean summit: as the month began, the summit was abruptly cancelled, then revived, and concluded as our session ended June 15, 2018.
But investors’ attention was more attuned to the simmering trade tensions between the U.S. and China, as both slapped tariffs on each other’s goods. The Federal Reserve raised interest rates a quarter point, hailed the strong U.S. economy and signaled the potential of two more rate hikes this year. The European Central Bank also met, and while it is pulling back on its bond stimulus, said it will not increase interest rates until mid-2019.
The Commerce Department said construction spending jumped 1.8 percent in April, a record high, as home construction rose by the biggest jump in 24 years. Construction is 7.6 percent ahead of this time a year ago. The Labor Department reported that the number of available jobs expanded in April by 1 percent, to a new record.
In May, employers added 223,000 jobs and pushed the unemployment rate to 3.8 percent, an 18-year low.
The Commerce Department reported that consumer spending rose 0.6 percent in April, the largest gain in five months. The Conference Board reported its May consumer confidence index increased to 128.0, from April’s 125.6. The Commerce Department reported that retail sales rose 0.8 percent in May, the strongest increase in six months, and April’s sales were revised higher.
The Labor Department said that its producer price index, or prices before they reach consumers, rose 0.5 percent in May, the largest one-month increase since January. In a separate report, the department said that May’s consumer prices rose 0.2 percent, largely on the back of higher gasoline prices.
The Institute for Supply Management posted an increase in its manufacturing index to a reading of 58.7, from April’s 57.3. The Federal Reserve said that industrial production fell 0.1 percent in May, and cited a fire at a supplier of truck parts in Michigan, which disrupted the supply chain and truck production. A rebound is anticipated.
“I don’t think a trade war is going to be inevitable,” said Robert Pavlik, chief investment strategist at SlateStone Wealth LLC. “I think (the president is) posturing, I think he’s chest-pounding, I think he’s doing exactly what he thinks he got elected to do.”
Exchange |
Symbol |
Company Name |
Price
|
Price
|
Net
|
PercentChange |
52-Week
|
52-Week
|
Shares
|
Market
|
| NASD | AAON | AAON, Inc. | 33.30 | 29.50 | 3.80 | 12.88% | 40.25 | 29.05 | 52360 | 1743588 |
| NYSE | ABB | ABB Ltd. | 23.03 | 23.82 | -0.79 | -3.32% | 28.67 | 21.92 | 2130000 | 49053900 |
| NYSE | AOS | AO Smith Corp. | 62.88 | 62.98 | -0.10 | -0.16% | 68.39 | 53.23 | 145080 | 9122630.4 |
| NYSE | FIX | Comfort Systems USA, Inc. | 47.90 | 44.75 | 3.15 | 7.04% | 48.95 | 31.90 | 37040 | 1774216 |
| NYSE | DOV | Dover Corp. | 76.82 | 76.95 | -0.13 | -0.17% | 88.09 | 62.08 | 154680 | 11882517.6 |
| NASD | ELON | Echelon Corp. | 4.15 | 4.19 | -0.04 | -0.95% | 6.10 | 4.07 | 4540 | 18841 |
| NYSE | DWDP | DowDuPont | 67.75 | 67.15 | 0.60 | 0.89% | 77.08 | 61.27 | 2320000 | 157180000 |
| NYSE | EME | EMCOR Group, Inc. | 77.70 | 75.47 | 2.23 | 2.95% | 85.08 | 62.15 | 58460 | 4542342 |
| NYSE | EMR | Emerson Electric Co. | 72.28 | 71.83 | 0.45 | 0.63% | 74.45 | 57.47 | 630090 | 45542905.2 |
| NYSE | FCAU | Fiat Chrysler | 20.85 | 22.38 | -1.53 | -6.84% | 24.95 | 10.46 | 1540000 | 32109000 |
| NYSE | F | Ford Motor Co. | 11.88 | 11.22 | 0.66 | 5.88% | 13.48 | 10.14 | 3910000 | 46450800 |
| NYSE | GM | General Motors Co. | 43.91 | 36.94 | 6.97 | 18.87% | 46.76 | 33.86 | 1410000 | 61913100 |
| NYSE | HON | Honeywell International, Inc. | 150.23 | 147.35 | 2.88 | 1.95% | 165.13 | 131.42 | 746930 | 112211293.9 |
| NASD | HDSN | Hudson Technologies, Inc. | 2.19 | 2.52 | -0.33 | -13.10% | 10.40 | 2.05 | 42400 | 92856 |
| NYSE | IR | Ingersoll-Rand Plc | 92.14 | 88.88 | 3.26 | 3.67% | 97.67 | 79.63 | 247960 | 22847034.4 |
| NYSE | JCI | Johnson Controls, Inc. | 35.04 | 36.27 | -1.23 | -3.39% | 44.37 | 32.89 | 922600 | 32327904 |
| NYSE | LII | Lennox International Inc. | 211.33 | 199.13 | 12.20 | 6.13% | 223.05 | 160.18 | 41240 | 8715249.2 |
| NYSE | LXU | LSB Industries, Inc. | 5.15 | 5.42 | -0.27 | -4.98% | 11.71 | 4.75 | 28610 | 147341.5 |
| NYSE | MTW | Manitowoc Co., Inc. | 25.45 | 25.50 | -0.05 | -0.20% | 44.03 | 22.12 | 35520 | 903984 |
| NYSE | MLI | Mueller Industries, Inc. | 30.41 | 29.28 | 1.13 | 3.86% | 37.57 | 25.26 | 57560 | 1750399.6 |
| NYSE | NWL | Newell Brands, Inc. | 26.05 | 26.34 | -0.29 | -1.10% | 55.08 | 22.60 | 485700 | 12652485 |
| OTC | NSANY | Nissan Motor Co. Ltd. | 19.77 | 20.43 | -0.66 | -3.23% | 22.14 | 18.74 | 3910000 | 77300700 |
| NASD | OFLX | OmegaFlex, Inc. | 69.70 | 72.10 | -2.40 | -3.33% | 76.63 | 53.50 | 10090 | 703273 |
| NYSE | PH | Parker-Hannifin Corp. | 170.92 | 176.66 | -5.74 | -3.25% | 212.80 | 153.65 | 132960 | 22725523.2 |
| NYSE | RBC | Regal-Beloit Corp. | 82.40 | 79.30 | 3.10 | 3.91% | 87.50 | 67.84 | 43980 | 3623952 |
| NYSE | ROK | Rockwell Automation | 177.66 | 178.18 | -0.52 | -0.29% | 210.72 | 155.81 | 125580 | 22310542.8 |
| OTC | SIEGY | Siemens Aktiengesellschaft | 69.46 | 68.89 | 0.57 | 0.83% | 77.17 | 61.68 | 812830 | 56459171.8 |
| NYSE | SPXC | SPX Corp. | 36.86 | 33.45 | 3.41 | 10.19% | 37.96 | 23.41 | 42970 | 1583874.2 |
| NYSE | TXN | Texas Instruments | 115.89 | 109.21 | 6.68 | 6.12% | 120.75 | 75.92 | 981720 | 113771530.8 |
| NYSE | UTX | United Technologies Corp. | 126.91 | 124.55 | 2.36 | 1.89% | 139.24 | 109.10 | 800060 | 101535614.6 |
| NYSE | WSO | Watsco, Inc. | 187.90 | 178.77 | 9.13 | 5.11% | 192.94 | 141.61 | 29050 | 5458495 |
|
|
Price 6/15/18 |
Price 5/15/18 |
Net Change |
Percent Change |
| HVACR Business Stock Index | 1,584.08 | 1,555.28 | 28.81 | 1.85% |
| Dow Jones Industrial Average | 25,090.48 | 24,706.41 | 384.07 | 1.55% |
| S&P 500 Index | 2,779.66 | 2,711.45 | 68.21 | 2.52% |
| NASDAQ Composite | 7,746.38 | 7,351.63 | 394.75 | 5.37% |
Gainers/Losers |
||||
| $ Gainer | Lennox International Inc. | 12.20 | ||
| $ Loser | Parker-Hannifin Corp. | -2.40 | ||
| % Gainer | General Motors Co. | 18.87% | ||
| % Loser | Hudson Technologies, Inc. | -13.10% | ||
| Advancers | 17 | |||
| Decliners | 14 | |||
The HVACR Business Stock Index rose 28.81 points, or 1.85 percent. Advancing issues topped declining issues by a 17-to-14 count.
General Motors jumped 6.97 points, or 18.87 percent. Investment firm Evercore ISI Research increased its rating to “outperform” from “in-line.” GM ended at 43.91, and was the top percentage gainer.
Omega Flex fell 2.40 points, or 3.33 percent. The company announced its regular quarterly dividend. The $0.24 per share will be payable on July 3, 2018 to shareholders of record as of June 18, 2018. OFLX closed at 69.70.
SPX Corp added 3.41 points, or 10.19 percent. The company has closed its $189 million acquisition of CUES Inc., a pipeline inspection manufacturer. SPX increased its yearly guidance to $2.15 and $2.25 per share, from an earlier forecast of $2.03 to $2.18 per share. SPXC ended at 36.86.