July 27, 2007 |
And That’s The Week That Was…the Brounes & Associates market/economic commentary for the week ended July 27, 2007. How can investor sentiment change so much so quickly? Just a week ago, the Dow and S&P 500 stood around all-time highs, and double-digits annual gains for the major indexes seemed like a foregone conclusion. Enter…a couple of surprising earnings announcements (thanks Countrywide), and now a new dark cloud suddenly hovers over Wall Street. (That’s what the worst week in five years will do for you.) For a change, investors are suddenly noticing the never-ending housing woes and contemplating the impact that the subprime (and even prime) mortgage fiasco can have on the overall economy and markets. Just don’t throw in the towel so quickly. Go home; rest up; read about the GDP in the 2nd quarter; and remember the bright spots investors were touting just last week. Things couldn’t have possibly changed that much that quickly? Or could they?
Coming up in the week ahead: ISM Manufacturing (Wed), Unemployment Rate (Friday), ISM Services (Friday)countrywide, Dow, mortgage, S&P 500, subprime, wall street