Companies featured in this edition of the newsletter: OPS.V
The stock market spent the majority of the week inside a narrow range, but Friday there was more activity as participants responded to remarks from Federal Reserve chair Janet Yellen. She commented that the case for a rate hike has strengthened in recent months, and according to the fed funds futures market the implied likelihood of a September rate hike increased to 36.0% from 21.0%. The Dow Jones Industrial Average finished the week down 155 points or -0.8% at 18,396 from 18,552 last week, though it is up 5.6% for the year. The Nasdaq finished the week down 19 points or -0.4% at 5,218 from 5,238 last week, and it is up 4.2% for the year. The S&P 500 finished the week at 2,169 down 14 points or -0.7% from 2,183 last week, and it is up 6.1% for the year. The Russell 2000 finished the week at 1,238 up 2 points or 0.2% from 1,236 last week, and it is up 9.1% for the year.
In economic news, new home sales increased 12.4% month over month in July to a seasonally adjusted annual rate of 654,000. July 2016 marked the strongest pace of new home sales since October 2007. Existing home sales in July declined 3.2% to a seasonally adjusted annual rate of 5.39 million from June’s unrevised sales pace of 5.57 million, which was the highest since February 2007. Initial jobless claims for the week ending August 20 slipped to 261,000 from the prior week’s unrevised reading of 262,000. Continuing claims for the week ending August 13 were 2.145 million, down 30,000 from the prior week’s unrevised reading. Durable goods orders increased 4.4% in July on the back of a 10.5% increase in transportation equipment orders, which was fueled by an 89.9% increase in nondefense aircraft and parts orders. Excluding transportation, orders were up 1.5%, paced by gains in nearly all categories.
The advance estimate for second quarter GDP was revised down to 1.1% from 1.2%, as was expected, while the GDP Price Deflator was revised up to 2.3% from 2.2%. The final reading for the University of Michigan Consumer Sentiment Survey for August dipped to 89.8 from the preliminary reading of 90.4.
This week was kind of quiet in terms of earnings news, however HP reported 3Q Fiscal 2016 net earnings of $783 million or $0.45 per diluted share compared with $854 million or $0.47 per share in 2015.
This week the Midwest Ideas Investor Conference will be held August 30-31, 2016 in Chicago, IL. The Jefferies LLC Semiconductor, Hardware and Communications Infrastructure Summit will be held August 31, 2016 in Chicago, IL.
Volume Alert: Opsens Inc. (OTCQX: OPSSF) (TSX: OPS.V), a healthcare company that engages in the development, manufacture, sale, and installation of fiber optic sensors for interventional cardiology, fractional flow reserve (FFR), oil and gas, and industrial applications, saw more than average trading volume on the Toronto Venture Exchange last week. On Tuesday it traded 180,000 shares-about four times its three-month average daily volume.
Opsens closed the week at $1.20 on the OTCQX under OPSSF and $1.55 on the Venture Exchange under OPS.V.
A profile, description, or other mention of a company in the newsletter is neither an offer nor solicitation to buy or sell any securities mentioned. While we believe all sources of information to be factual and reliable, in no way do we represent or guarantee the accuracy thereof, nor the statements made herein. THE READER SHOULD VERIFY ALL CLAIMS AND DO ITS OWN DUE DILIGENCE BEFORE INVESTING IN ANY SECURITIES MENTIONED. This publication accepts compensation from companies that it features. This newsletter should not be regarded as an independent publication. Our editors may, from time to time, acquire positions in the companies that they cover. This could represent a conflict of interest. The CEOcast newsletter shall be under no obligation to inform readers about its trading activities. CEOcast's editors reserve the right to buy or sell shares in these companies at any time. The following companies, featured in this newsletter, have compensated CEOcast: Opsens, fifteen thousand dollars cash.