Back to top

View the PFP Archive

Profit from the Pros

After Three Up Days In A Row, Stocks Poised For A Positive Week

Stocks added to their gains yesterday making it three days in a row. After turning positive for the week intraday, they finished just under that mark by the close. But they are within striking distance of closing up for the week with one more day to go.

While there's a degree of confusion over what happens next with the trade talks, there's also a degree of optimism that a deal between the two largest economies will eventually get done.

In the meantime, our economy and the market looks great. And the outlooks for both look strong as well.

And they should. It's estimated that the first round of tariffs on $200 billion of Chinese goods, and the $60 billion of U.S. goods, would only shave two tenths to three tenths of a percent off of our GDP. Although, it would likely knock a half percent off of China's. That number climbs to four tenths to a half percent off of our GDP if the U.S. levies tariffs on the additional $325 billion it's threatened. And that would likely shave more than one full percentage point off of China's GDP. But with our full year GDP expected to be around 3% or more, we're starting from a great place.

Further underscoring the strength of our economy and our record jobs market was yesterday's Weekly Jobless Claims. They dropped -16,000 to 212K vs. last week's 228K and views for 219K.

Housing Starts were up more than expected at 1.235 million units (annualized) vs. last month's upwardly revised 1.168M units and estimates for 1.2M.

And the Philadelphia Fed Business Outlook Survey beat expectations as well coming in at 16.6 vs. last month's 8.5 reading and the consensus for 9.3.

Our economy continues to impress.

Today we'll get a look at Consumer Sentiment, E-Commerce Retail Sales, and Leading Indicators. And I'm expecting these numbers to impress as well.

If today's trading is anything like the last three days, we're poised for another up day and up week.


Kevin Matras

Executive Vice President, Zacks Investment Research


Potentially the Most Exciting (and Profitable) New Tech in Years

Be among the early investors in the new type of device set to transform the economy and our daily lives as much as the invention of the internet.

An estimated 20 million of these devices will go live every day for the next 6 years. In the process, the technology driving them is expected to create $11.1 trillion in economic impact.

A select few stocks will outperform their peers as this technology expands exponentially. Early investors could see gains similar to buying Amazon in the 1990s. Zacks' just-released special report reveals 6 stocks to watch. The report is only available until Sunday, May 19.

See 6 breakthrough stocks now>>

Most Popular Articles from

Bet on 5 Stocks With Rising Cash Flows to Scoop Big Gains

Instead of brooding too much on profit numbers, effectively judging a company's resiliency by assessing its efficacy in generating cash flows is far more rewarding. Read More »

Homebuilder Confidence Hits 7 Month-High in May: 4 Top Picks

Lower mortgage rates and higher incomes have recently lifted housing activity. Read More »

Walmart vs. Amazon: Who Wins the Race for Next-Day Delivery?

Walmart, the largest brick-and-mortar retailer globally, is making a swift progress to boost its online presence despite Amazon's dominance. Read More »

Heavy Construction Outlook Upbeat on Solid Infrastructure Plan

A major boost in infrastructural and construction spending should continue to favor the industry's performance. Read More »

Trump Likely to Delay Auto Tariffs by 6 Months: 5 Picks

Analysts believe that a decision to defer auto tariffs is an attempt to avoid a new battle raging from a larger trade conflict. Read More »


Increase Investment Returns with Free Zacks' Portfolio Tracker

Follow your investments easily in one place. Get free email updates that alert you to major events affecting your stocks and funds, including timely recommendation changes, earnings announcements and, most importantly, earnings estimate revisions.

Click to Learn More>>

Bull of the Day: Rent-A-Center (RCII)

The economy is hot and so is demand for cool stuff in your house. Read More »

New Zacks Strong Buys for May 17th

Here are 5 stocks added to the Zacks Rank #1 (Strong Buy) List today. Read More »

Customize Your Profit from the Pros Delivery

Download our app for convenient on-the-go access to even more—daily and weekly newsletters published by Zacks experts, proprietary research and tools, and Portfolio Tracker on

Download our Zacks App for Apple iOS
Download our Zacks App for Android

Visit Success Stories to hear how Zacks research, tools and portfolios help our members outperform the market.