The Weekly Market Snapshot from Frazier Allen for the week of October 22nd, 2012
Market Commentary by Scott J. Brown, Ph.D., Chief Economist
The economic data reports were mixed, but mostly on the strong side of expectations. Retail sales rose 1.1% in September, while figures for July and August were revised higher. Industrial production rose a little more than anticipated, but manufacturing activity was down in the quarter as a whole. Residential construction activity surged in September (single-family permits up 6.7%), although improvement may have been inflated by the seasonal adjustment (19 working days last month, vs. 23 in August and 21 a year ago). The Consumer Price Index was boosted by higher energy costs, but the underlying trend in core inflation remained low.
While the economic data were mostly favorable, the stock market was more concerned with earnings reports, which were generally disappointing. News reports noting that we’re at the 25th anniversary of Black Monday probably didn’t help either. [Read more]
The Weekly Market Snapshot from Frazier Allen for the week of October 17th, 2012
Market Commentary by Scott J. Brown, Ph.D., Chief Economist
With a thin economic calendar, the stock market was left to fret about other things, including global growth and earnings. In its World Economic Outlook, the IMF lowered its projections of global output for this year and next cautioning that “downside risks are now judged to be more elevated.” U.S. corporate earnings from abroad are expected to soften further.
The Fed’s Beige Book, the anecdotal summary of economic conditions from the 12 Federal Reserve districts, noted “economic activity generally expanded modestly” since the previous report. Consumer spending was “generally reported to be flat to up slightly.” Conditions in manufacturing were mixed “but, on balance, somewhat improved.” Residential real estate conditions improved, with “most districts reporting a strengthening in existing home sales.” Home prices were described as “steady to increasing,” with declining inventories noted in the several districts. Employment conditions were “little changed” and “uncertainty related to the upcoming presidential election, U.S. fiscal policy, and European debt issues were cited by some as restraining hiring.” [Read more]
Couture Crush Celebrates Successful First Year in Business
With strong sales, owner looking to open second location
Clarksville, TN – Couture Crush, an independently owned ladies boutique, recently completed the first year of business in October 2012. Located in downtown Clarksville, the specialty retail shop carries a mix of women’s clothing, accessories, jewelry, home accessories, and gifts, appealing to the community’s fashion-conscious.
Owned by Clarksville native and recent Austin Peay State University graduate Kaley Drew, Couture Crush surpassed first year goals and attributed strong local customer response to the better-than-planned sales.
Couture Crush owner Kaley Drew.
Clarksville is invited to party at Party 1 Superstore
Clarksville, TN – In addition to breezy weather, October also brings 20% off of all Halloween items at Party 1 Superstore in Clarksville, TN.
Mike Fuqua is the president and owner of the store, which is renowned for its balloon center, rentals, costumes, party supplies, wedding department, and wildly popular inflatables. Because of this, Party 1 is the number-one party store in the city.
Mike Fuqua president and owner of Party 1 Superstore.
Planters Bank donates to APSU scholarship honoring former employee Cindy Harvey
Clarksville, TN – On a rainy Monday morning, members of the Harvey family gathered in the lobby of Planters Bank on Commerce Street. That’s where their beloved mother and wife Cindy Crutcher Harvey worked as vice president of cash management before she passed away in February 2010.
After her death, the family created the Cindy Crutcher Harvey Endowed Scholarship at Austin Peay State University, to give deserving students an opportunity to earn a college education. On that Monday morning, Harvey’s former employer, Planters Bank, made a major contribution to the endowed scholarship.
Jon and Anne Crutcher, Suzanne Langford, Roy Gregory, Elizabeth McCoy, Todd Harvey, Ashley Harvey and Jon Harvey at Planters Bank earlier this week. (Photo by Charles Booth/APSU)
Belk at Governor’s Square Mall to Host Grand Re-opening
Event Will Include a $5,000 Check Presentation to Clarksville-Montgomery County Education Foundation and 400 Free Belk Gift Cards Worth $5.00-$500.00
Charlotte, NC – Belk, the nation’s largest privately owned mainline department store company, will host Grand Re-Opening events at each of its 19 newly remodeled stores on Wednesday, October 10th, including the Belk at Governor’s Square Mall, to celebrate its $600 million overall investment to company improvements including store remodels, information technology platforms, branding, eCommerce, merchandise planning, strategic sourcing and customer care.
“Our business has experienced tremendous changes, including our target customer, our assortments, our logo, our marketing, our technology, and many others,” said Johnny Belk, president and COO. “Belk has evolved and innovated to meet the changing marketplace and demands of our customers.” [Read more]
The Weekly Market Snapshot from Frazier Allen for the week of September 30th, 2012
Market Commentary by Scott J. Brown, Ph.D., Chief Economist
The economic data were mixed, but mostly disappointing. Consumer confidence improved in September and the Case-Shiller Home Price Index continued to rise. Real GDP rose at a 1.3% annual rate in the 3rd estimate for 2Q12 (vs. +1.7% in the 2nd estimate). Personal income rose 0.1% in August (+3.5% y/y). Spending rose 0.5%, but gasoline accounted for about 80% of that. The PCE Price Index rose 0.4% (+1.5% y/y), up 0.1% ex-food & energy (+1.6% y/y) – trending below the Fed’s 2% target. Durable goods orders plunged 13.2%, partly reflecting a drop in civilian aircraft orders (which went negative due to order cancelations). [Read more]
The Weekly Market Snapshot from Frazier Allen for the week of September 23rd, 2012
Market Commentary by Scott J. Brown, Ph.D., Chief Economist
The economic data were mixed. Homebuilder sentiment continued to improve. Existing home sales rose 7.9% in August (+24.5% y/y). Housing starts and building permits were mixed in August, but continued to reflect an improving trend in single-family construction (permits up 19.3% y/y). The Fed’s two key regional manufacturing surveys were mixed, but remained weak.
Intraday volatility increased in the stock market as investors tried to weigh the Fed’s recent actions (and promise to do more if need) against the near-term headwinds and downside risks. [Read more]
Heritage Bank holding company HopFed Bancorp, Inc. declares Quarterly Cash Dividend
Hopkinsville, KY – HopFed Bancorp, Inc. (NASDAQ: HFBC) announced that its Board of Directors has declared a quarterly cash dividend of $0.02 per share.
The cash dividend will be paid on October 19th, 2012, to stockholders of record as of October 1st, 2012. [Read more]
The Weekly Market Snapshot from Frazier Allen for the week of September 16th, 2012
Market Commentary by Scott J. Brown, Ph.D., Chief Economist
Citing concerns about the pace of improvement in the labor market, the Federal Open Market Committee extended its forward guidance and started a third round of large-scale asset purchases (what most people call “QE3”). The FOMC said economic conditions are expected to warrant exceptionally low levels of the federal funds rate target through mid-2015 (vs. “late 2014” in the previous policy statement) and added that “a highly accommodative stance of monetary policy will remain appropriate for a considerable time after the economic recovery strengthens.”
The Fed’s latest bond-buying program will be in mortgage-backed securities and, unlike the first two asset purchase programs, is open-ended ($40 billion per month). In his press briefing after the FOMC meeting, Chairman Bernanke emphasized that the Fed wanted to see “substantial” improvement in the labor market, but declined to assign specific numbers to that. Bernanke also said that the Fed cannot do everything (including offsetting the negative impact of the fiscal cliff, should that occur), but is obliged to do what it can to support growth. [Read more]
