Weekly Market Snapshot from Frazier Allen for the week of April 28th, 2013
Market Commentary by Scott J. Brown, Ph.D., Chief Economist
The economic data were generally on the weak side of expectations. The advance estimate of 1Q13 GDP growth came in weaker than anticipated (at a 2.5% annual rate, vs. expectations of +3.0% or +3.1%). Consumer spending was stronger than anticipated at the start of the quarter, while business fixed investment rose more slowly than expected. Inventories rose at a faster pace, adding a full percentage point to overall growth. Government (mostly defense) remained a drag on overall growth. The PCE Price Index continued to trend far below the Fed’s 2% target (suggesting little need for the Fed to taper its rate of asset purchases).
Earnings reports were mixed, but generally with some caution in the forward outlooks. Relatively slow global growth isn’t going to help and fiscal policy has dampened the outlook domestically. [Read more]
Akebono Brake Corporation becomes Clarksville-Montgomery County Green Certified
Montgomery County, TN – The latest industry to become Clarksville-Montgomery County Green Certified is Akebono.
Akebono’s Montgomery County location is a leading global manufacturer of brake friction materials and components. The company is ISO 14001 Certified which is a coveted international certification meaning that it has met the criteria for environmental management systems.
Akebono Green Certification Ribbon Cutting.
First Advantage Bank to go Private
Growing Bank Leaving NASDAQ Stock Market to Fuel Strategic Plans
Clarksville, TN – The board of directors for First Advantage Bancorp, the holding company for Clarksville-based First Advantage Bank, has approved a move to leave the NASDAQ Stock Market and take the bank private.
The organization will utilize SecondMarket, the leading alternative to the public markets, to facilitate stock transactions and shareholder communications. The company expects the move to create more shareholder value, allow the management team to focus on strategic plans for ongoing growth, and dramatically reduce its administrative costs. [Read more]
Akebono Celebrates Green Ribbon Cutting
Montgomery County, TN – The Clarksville-Montgomery County Green Certification Program invites you to a Green Ribbon Cutting Ceremony for Akebono. The ceremony will be held on Tuesday, April 23rd at 2:00pm at their 780 International Boulevard location. We hope you will join us in celebrating their recent completion of the Green Certification Program.
For more information on the Clarksville-Montgomery County Green Certification Program, contact Michelle Newell at manewell@mcgtn.net.
Hendrickson gets Clarksville-Montgomery County Green Certified
Montgomery County, TN – The latest business to become Clarksville-Montgomery County Green Certified is Hendrickson.
Hendrickson’s Montgomery County location is a leading global manufacturer of medium and heavy-duty truck suspensions. The company has been working on energy saving initiatives since 2010 and continues to seek opportunities to conserve where it can.
Hendrickson Green Ribbon Cutting ceremony
Weekly Market Snapshot from Frazier Allen for the week of April 21st, 2013
Market Commentary by Scott J. Brown, Ph.D., Chief Economist
The terrorist bombing at the Boston Marathon and news of ricin-laced letters mailed to elected officials did not appear to have a major impact on the financial markets, but they certainly didn’t help. The major stock market averages were volatile. Bond yields remained low. Commodity prices remained under pressure.
Economic data were mixed, but generally weak. The Fed’s Beige Book noted that anecdotal reports from late February to early April were consistent with moderate economic growth. The Index of Leading Economic Indicators edged lower. Industrial production rose more than expected, but that was due to a jump in utility output (colder temperatures). Factory output fell modestly in March, with strength in autos, but weak otherwise. Seasonal adjustment led to a drop in gasoline prices, pushing the headline Consumer Price Index lower in March, while core inflation rose modestly. [Read more]
Weekly Market Snapshot from Frazier Allen for the week of April 14th, 2013
Market Commentary by Scott J. Brown, Ph.D., Chief Economist
The economic data were mixed. However, the key release, the retail sales report, disappointed. Retail sales fell more than expected in March, while figures for January and February were revised lower. Recall that the February personal income and spending numbers, released on Good Friday, pointed to a much better growth rate in consumer spending than had been anticipated earlier.
The retail sales report, in turn, should dampen the 1Q13 GDP outlook to some extent and reduce GDP projections for 2Q13. Consumer sentiment fell in the mid-month assessment. Jobless claims fell back, after having risen in the two previous weeks, suggesting that the recent moves merely reflecting some noise in the data. [Read more]
Weekly Market Snapshot from Frazier Allen for the week of April 8th, 2013
Market Commentary by Scott J. Brown, Ph.D., Chief Economist
The economic data were generally disappointing. Nonfarm payrolls rose by a disappointing 88,000 in March (median forecast: +200,000), up 759,000 before seasonal adjustment (vs. +901,000 in March 2012). Payroll figures for January and February were revised a net 61,000 higher (adjusted payrolls average a 168,000 monthly gain in 1Q13, roughly the same pace as the last two years).
Mild weather in February may have pulled forward some of March’s strength, but the slowdown could signal a lagged impact of the payroll tax increase. The unemployment rate fell to 7.6% (vs. 7.7% in February and 8.2% a year ago), but this was once again due to a decrease in labor force participation (participation should be rising if the labor market is strengthening, as individuals are lured back into the job market). The employment/population ratio edged down to 58.5%, trending roughly flat over the last few years. [Read more]
Stocks continue to rise in First Quarter
Clarksville, TN – The three major stock indices continued to rise in the first quarter with the S&P 500 closing at a record high. Driving the S&P 500’s momentum were consumer staples and consumer discretionary stocks.
Since the S&P hit its previous closing high in October 2007, the consumer discretionary sector has gained 40.4%, while staples are up 41.3% – outperforming technology and financials. [Read more]
Frontier Basement Systems becomes Clarksville-Montgomery County Green Certified
Montgomery County, TN – The latest business to become Clarksville-Montgomery County Green Certified is Frontier Basement Systems. County Mayor Carolyn Bowers was at the green ribbon cutting to congratulate Frontier Basement Systems on their certification.
Frontier Basement Systems is the latest business to become Green Certified.
