---
title: "Monday Update: Retail Sales Growth Slows in November"
description: Commonwealth's Sam Millette tracks the latest economic reports, including a look at retail sales, news from the Fed, and consumer confidence.
image: https://blog.commonwealth.com/hubfs/Rebrand-Blog-Images/IMO-images/Monday-Update/monday-b.jpg
---

[![The Independent Market Observer](https://blog.commonwealth.com/hubfs/IMO-Title-1.png "The Independent Market Observer")](https://blog.commonwealth.com/independent-market-observer)

[![Commonwealth Financial Network](https://blog.commonwealth.com/hubfs/lockup_citron-1.png "Commonwealth Financial Network")](https://www.commonwealth.com/)

- [Home](https://blog.commonwealth.com/independent-market-observer)
- [About](https://learn.commonwealth.com/about/)

### ![print this page](https://blog.commonwealth.com/hs-fs/file-1376458285-gif/images/print.gif)Print

# [Monday Update: Retail Sales Growth Slows in November](https://blog.commonwealth.com/independent-market-observer/monday-update-retail-sales-growth-slows-in-november)

Posted by [Sam Millette](https://blog.commonwealth.com/independent-market-observer/author/sam-millette) 

This entry was posted on  Dec 20, 2021, 12:24:54 PM

 and tagged [In the News](https://blog.commonwealth.com/independent-market-observer/topic/in-the-news) 

[Leave a comment](https://blog.commonwealth.com/independent-market-observer/monday-update-retail-sales-growth-slows-in-november#comments-listing)

![monday-b](https://blog.commonwealth.com/hs-fs/hubfs/Rebrand-Blog-Images/IMO-images/Monday-Update/monday-b.jpg?width=300&name=monday-b.jpg)There were a number of important economic data releases last week, with a look at producer inflation, retail sales, home builder confidence, new home construction, industrial production, and the results from the most recent Fed meeting. This will be another busy week of updates, with reports scheduled on consumer confidence, housing sales, durable goods orders, and personal income and spending.

##### Last Week’s News

On Tuesday, the November **Producer Price Index** report was released. Producer prices increased by more than expected during the month, as headline prices increased by 0.8 percent in November against calls for a 0.5 percent increase. On a year-over-year basis, producer prices increased by 9.6 percent, up from the upwardly revised 8.8 percent year-over-year growth rate that we saw in October. This brought the annual increase in headline producer prices up to its highest level from records back to 2010. Core producer prices, which exclude volatile food and energy prices, increased by 0.7 percent during the month and 7.7 percent on a year-over-year basis. The larger-than-expected increase in prices was driven by rising price pressure on materials and services during the month. Producer prices have seen upward pressure throughout the year as improvements on the medical front led to a surge in spending, while supply chains remained tangled and transportation costs increased.

Wednesday saw the release of the November **retail sales** report. Sales increased by less than expected during the month, as headline sales increased by 0.3 percent against calls for a 0.8 percent increase. This was down notably from the upwardly revised 1.8 percent increase in retail sales that we saw in October, but it still marked four consecutive months with retail sales growth. Core retail sales, which strip out the impact of volatile auto and gas sales, increased by 0.2 percent during the month against calls for a 0.8 percent increase. The slowdown in spending growth during the month is understandable given the declines in consumer confidence that we’ve seen throughout the past few months. But slower growth is still growth, which is a good sign for the overall economic recovery during the month.

Wednesday also saw the release of the **National Association of Home Builders Housing Market Index** for December. This measure of home builder confidence improved as expected during the month. The index increased from 83 in November to 84 in December, which was in line with economist forecasts. This solid result brought the index to its highest level since February and signals an accelerated expansion for the home building industry during the month. Home builder confidence has improved over the past few months after dipping modestly during the summer, supported by high levels of prospective home buyer demand and a relative lack of existing homes for sale. The improvement in December was driven by an increase in prospective home buyer foot traffic, which is an encouraging sign that home buyer demand remains strong despite rising prices and mortgage rates.

The third major release on Wednesday was the **FOMC rate decision** from the Fed’s December meeting. The Fed cut interest rates to virtually zero at the start of the pandemic, and there were no changes to the federal funds rate at this meeting, as expected. Instead, the focus was on the Fed’s decision to increase the pace of tapering for secondary market asset purchases. The Fed had been purchasing $120 billion per month in Treasury and mortgage-backed securities throughout most of the pandemic, but it started to ease the pace of purchases by $15 billion in both November and December. The central bank announced that it will drop the pace of purchases by an additional $30 billion in January, which doubled the pace of the original tapering plan and indicates that the Fed may wind down its quantitative easing program by March of next year. Given the high levels of inflationary pressure throughout the economy and the improvements that we’ve seen this year for the labor market, this increased hawkishness was expected and may signal further tightening in the months ahead.

Thursday saw the release of the November **housing starts** and **building permits** reports. These measures on new home construction both showed signs of faster growth during the month. Permits increased by 3.6 percent, while starts surged by 11.8 percent. Both permits and starts saw faster growth than expected during the month. These better-than-expected results brought the pace of new home construction to its second-fastest level in eight months, highlighting the positive impact of rising home builder confidence during the month. The pace of new home construction remains well above pre-pandemic levels, as the housing sector continues to show signs of healthy growth due to high levels of home buyer demand. Given the increased home builder confidence in December, lack of available homes for sale, and continued high levels of home buyer demand, construction growth is expected to remain strong to finish out the year.

We finished the week with Thursday’s release of the November **industrial production** report. Industrial production increased by 0.5 percent during the month, which was slightly below the 0.6 percent increase that economists had previously forecasted. Manufacturing production increased by 0.7 percent during the month, which was in line with expectations. We also saw capacity utilization increase to its highest level since December 2018, which was an encouraging sign that the producer recovery continued to pick up steam in November. This now marks two consecutive months with industrial production and manufacturing output growth following a weather-related slump in September. Production growth was supported by high levels of demand for consumer goods and business equipment during the month, and increased auto production helped support overall production growth in November. Overall, this was an encouraging report, as it indicates that manufacturers continue to invest in and grow their businesses in order to meet high levels of pent-up demand. 

##### What to Look Forward To

Wednesday will see the release of the **Conference Board consumer confidence survey** for December. This widely followed measure of consumer confidence is expected to increase modestly during the month, from 109.5 in November to 110.6 in December. If estimates hold, this would represent a partial rebound for the index after confidence slumped in November. But it would still leave the index well below the recent high of 128.9 that we saw in June. Confidence has declined over the past few months from summer highs due in large part to rising concerns about inflation, as well as rising health risks due to the Delta and Omicron variants. Historically, improving confidence has helped support increased consumer spending growth, so this will continue to be a widely monitored monthly data release due to the importance of consumer spending to the overall economy.

Wednesday will also see the release of the November **existing home sales** report. Existing home sales are expected to increase by 3.3 percent during the month, following a better-than-expected 0.8 percent increase in October. If estimates prove to be accurate, this would bring the pace of existing home sales to their highest level since January, and it would signal continued strength for the housing market. Home sales growth has picked up notably compared to pre-pandemic levels, as low mortgage rates and shifting home buyer preference for more space due to the pandemic have spurred a surge in sales growth. The sales growth this year has been especially impressive given the lack of supply of existing homes for sale, as well as rising prices and mortgage rates. If we do see continued sales growth in November, it would be a reminder that the housing sector remains one of the highlights of the current economic recovery.

On Thursday, the preliminary estimate for the November **durable goods orders** report is set to be released. Durable goods orders are expected to increase by 1.8 percent during the month, following a 0.4 percent decline in October. The anticipated rebound in headline orders is due in part to a rebound in volatile commercial aircraft orders during the month. Core durable goods orders, which strip out the impact of transportation orders, are set to increase by 0.6 percent during the month, following a solid 0.5 percent increase in October. If estimates hold, this would mark nine straight months with core durable goods orders growth. Core durable goods orders are often viewed as a proxy for overall business investment, so this anticipated increase in November would be a positive sign that businesses continued to spend and invest during the month in order to meet high levels of demand.

We’ll finish the week with Thursday’s release of the November **personal spending** and **personal income** reports. Both personal income and personal spending are expected to increase by 0.5 percent during the month. If estimates hold, this would mark nine straight months of personal spending growth. Spending growth has been supported throughout much of the year by improvements on the public health front, which allowed for an easing of state and local restrictions that, in turn, supported steady spending growth. Personal income growth has been more volatile throughout the course of the year, as shifting federal unemployment and stimulus payments have led to high levels of monthly volatility in average income. With that being said, if estimates prove to be accurate, this would mark two consecutive months with rising personal income after the expiration of enhanced unemployment benefits in September caused income to decline during the month.

That’s it for this week—thanks for reading!

- [Tweet](https://twitter.com/share)

### Subscribe via Email

![TMO\_IMO\_615x408\_sidebar](https://blog.commonwealth.com/hs-fs/hubfs/TMO_IMO_615x408_sidebar.png?width=1033&height=686&name=TMO_IMO_615x408_sidebar.png "TMO_IMO_615x408_sidebar")

[Episode 20](https://vimeo.com/1201911815/0f4f028be9?share=copy&fl=sv&fe=ci)  
June 17, 2026

[Episode 19](https://vimeo.com/1191658257/1b43ce84dd?share=copy&fl=sv&fe=ci)  
May 13, 2026

[Episode 18](https://vimeo.com/1183174918/e227cf7d80?share=copy&fl=sv&fe=ci)  
April 15, 2026

[Episode 17](https://vimeo.com/1174554734/636f0f7aba?share=copy&fl=sv&fe=ci)  
March 18, 2026

[Episode 16](https://vimeo.com/1163757312/bc2f802d74?share=copy&fl=sv&fe=ci)  
February 11, 2026

<https://news.yahoo.com/stocks-halt-rout-dollar-down-200241022.html>[More](https://learn.commonwealth.com/monthly-media-placements)

[![Insights\_CTA\_IMO\_233x400-1](https://no-cache.hubspot.com/cta/default/295024/interactive-187935228457.png)](https://blog.commonwealth.com/hs/cta/wi/redirect?encryptedPayload=AVxigLJi51mJKS%2FHdT0tUBN2nsvek815zUZJq1awRdHagK8%2By7bOialbY225lvElH6TfKcOFauY1gye0%2FdWH%2F0I7k4L2cTAK0%2B51%2FytKWguw3lV6Ma7is4JvHvIKFt67D8KZh95covKd%2Bhtdc83g1IHjTg9hMlPy20KprpyrXxtLXPYAKUHcaRnAVNzS0%2FIYPZkewK2I1RNnaxfMcm4%3D&webInteractiveContentId=187935228457&portalId=295024)

### Hot Topics

Select Category Ask Brad Commentary Economic Risk Factor Updates Economics Lessons Market Thoughts Videos In the News Investing Market Updates On My Bookshelf Politics and the Economy

[![New Call-to-action](https://no-cache.hubspot.com/cta/default/295024/5f46d9ce-4d40-495c-a126-d4502b647bbf.png)](https://cta-redirect.hubspot.com/cta/redirect/295024/5f46d9ce-4d40-495c-a126-d4502b647bbf)

### Archives

- [September 2026 (3)](https://blog.commonwealth.com/independent-market-observer/archive/2026/09)
- [August 2026 (2)](https://blog.commonwealth.com/independent-market-observer/archive/2026/08)
- [July 2026 (3)](https://blog.commonwealth.com/independent-market-observer/archive/2026/07)
- [June 2026 (2)](https://blog.commonwealth.com/independent-market-observer/archive/2026/06)
- [May 2026 (2)](https://blog.commonwealth.com/independent-market-observer/archive/2026/05)
- [April 2026 (3)](https://blog.commonwealth.com/independent-market-observer/archive/2026/04)
- [March 2026 (3)](https://blog.commonwealth.com/independent-market-observer/archive/2026/03)
- [February 2026 (4)](https://blog.commonwealth.com/independent-market-observer/archive/2026/02)
- [January 2026 (3)](https://blog.commonwealth.com/independent-market-observer/archive/2026/01)
- [December 2025 (3)](https://blog.commonwealth.com/independent-market-observer/archive/2025/12)
- [November 2025 (3)](https://blog.commonwealth.com/independent-market-observer/archive/2025/11)
- [October 2025 (4)](https://blog.commonwealth.com/independent-market-observer/archive/2025/10)
- [September 2025 (4)](https://blog.commonwealth.com/independent-market-observer/archive/2025/09)
- [August 2025 (3)](https://blog.commonwealth.com/independent-market-observer/archive/2025/08)
- [July 2025 (4)](https://blog.commonwealth.com/independent-market-observer/archive/2025/07)
- [June 2025 (5)](https://blog.commonwealth.com/independent-market-observer/archive/2025/06)
- [May 2025 (5)](https://blog.commonwealth.com/independent-market-observer/archive/2025/05)
- [April 2025 (7)](https://blog.commonwealth.com/independent-market-observer/archive/2025/04)
- [March 2025 (5)](https://blog.commonwealth.com/independent-market-observer/archive/2025/03)
- [February 2025 (2)](https://blog.commonwealth.com/independent-market-observer/archive/2025/02)
- [January 2025 (1)](https://blog.commonwealth.com/independent-market-observer/archive/2025/01)
- [December 2024 (2)](https://blog.commonwealth.com/independent-market-observer/archive/2024/12)
- [November 2024 (2)](https://blog.commonwealth.com/independent-market-observer/archive/2024/11)
- [October 2024 (9)](https://blog.commonwealth.com/independent-market-observer/archive/2024/10)
- [September 2024 (12)](https://blog.commonwealth.com/independent-market-observer/archive/2024/09)
- [August 2024 (11)](https://blog.commonwealth.com/independent-market-observer/archive/2024/08)
- [July 2024 (15)](https://blog.commonwealth.com/independent-market-observer/archive/2024/07)
- [June 2024 (13)](https://blog.commonwealth.com/independent-market-observer/archive/2024/06)
- [May 2024 (11)](https://blog.commonwealth.com/independent-market-observer/archive/2024/05)
- [April 2024 (13)](https://blog.commonwealth.com/independent-market-observer/archive/2024/04)
- [March 2024 (13)](https://blog.commonwealth.com/independent-market-observer/archive/2024/03)
- [February 2024 (11)](https://blog.commonwealth.com/independent-market-observer/archive/2024/02)
- [January 2024 (13)](https://blog.commonwealth.com/independent-market-observer/archive/2024/01)
- [December 2023 (15)](https://blog.commonwealth.com/independent-market-observer/archive/2023/12)
- [November 2023 (19)](https://blog.commonwealth.com/independent-market-observer/archive/2023/11)
- [October 2023 (17)](https://blog.commonwealth.com/independent-market-observer/archive/2023/10)
- [September 2023 (14)](https://blog.commonwealth.com/independent-market-observer/archive/2023/09)
- [August 2023 (16)](https://blog.commonwealth.com/independent-market-observer/archive/2023/08)
- [July 2023 (15)](https://blog.commonwealth.com/independent-market-observer/archive/2023/07)
- [June 2023 (14)](https://blog.commonwealth.com/independent-market-observer/archive/2023/06)
- [May 2023 (16)](https://blog.commonwealth.com/independent-market-observer/archive/2023/05)
- [April 2023 (13)](https://blog.commonwealth.com/independent-market-observer/archive/2023/04)
- [March 2023 (17)](https://blog.commonwealth.com/independent-market-observer/archive/2023/03)
- [February 2023 (14)](https://blog.commonwealth.com/independent-market-observer/archive/2023/02)
- [January 2023 (16)](https://blog.commonwealth.com/independent-market-observer/archive/2023/01)
- [December 2022 (15)](https://blog.commonwealth.com/independent-market-observer/archive/2022/12)
- [November 2022 (14)](https://blog.commonwealth.com/independent-market-observer/archive/2022/11)
- [October 2022 (17)](https://blog.commonwealth.com/independent-market-observer/archive/2022/10)
- [September 2022 (14)](https://blog.commonwealth.com/independent-market-observer/archive/2022/09)
- [August 2022 (17)](https://blog.commonwealth.com/independent-market-observer/archive/2022/08)
- [July 2022 (18)](https://blog.commonwealth.com/independent-market-observer/archive/2022/07)
- [June 2022 (15)](https://blog.commonwealth.com/independent-market-observer/archive/2022/06)
- [May 2022 (17)](https://blog.commonwealth.com/independent-market-observer/archive/2022/05)
- [April 2022 (20)](https://blog.commonwealth.com/independent-market-observer/archive/2022/04)
- [March 2022 (23)](https://blog.commonwealth.com/independent-market-observer/archive/2022/03)
- [February 2022 (19)](https://blog.commonwealth.com/independent-market-observer/archive/2022/02)
- [January 2022 (20)](https://blog.commonwealth.com/independent-market-observer/archive/2022/01)
- [December 2021 (22)](https://blog.commonwealth.com/independent-market-observer/archive/2021/12)
- [November 2021 (20)](https://blog.commonwealth.com/independent-market-observer/archive/2021/11)
- [October 2021 (21)](https://blog.commonwealth.com/independent-market-observer/archive/2021/10)
- [September 2021 (22)](https://blog.commonwealth.com/independent-market-observer/archive/2021/09)
- [August 2021 (22)](https://blog.commonwealth.com/independent-market-observer/archive/2021/08)
- [July 2021 (21)](https://blog.commonwealth.com/independent-market-observer/archive/2021/07)
- [June 2021 (24)](https://blog.commonwealth.com/independent-market-observer/archive/2021/06)
- [May 2021 (20)](https://blog.commonwealth.com/independent-market-observer/archive/2021/05)
- [April 2021 (20)](https://blog.commonwealth.com/independent-market-observer/archive/2021/04)
- [March 2021 (23)](https://blog.commonwealth.com/independent-market-observer/archive/2021/03)
- [February 2021 (19)](https://blog.commonwealth.com/independent-market-observer/archive/2021/02)
- [January 2021 (20)](https://blog.commonwealth.com/independent-market-observer/archive/2021/01)
- [December 2020 (25)](https://blog.commonwealth.com/independent-market-observer/archive/2020/12)
- [November 2020 (21)](https://blog.commonwealth.com/independent-market-observer/archive/2020/11)
- [October 2020 (23)](https://blog.commonwealth.com/independent-market-observer/archive/2020/10)
- [September 2020 (22)](https://blog.commonwealth.com/independent-market-observer/archive/2020/09)
- [August 2020 (25)](https://blog.commonwealth.com/independent-market-observer/archive/2020/08)
- [July 2020 (26)](https://blog.commonwealth.com/independent-market-observer/archive/2020/07)
- [June 2020 (23)](https://blog.commonwealth.com/independent-market-observer/archive/2020/06)
- [May 2020 (22)](https://blog.commonwealth.com/independent-market-observer/archive/2020/05)
- [April 2020 (24)](https://blog.commonwealth.com/independent-market-observer/archive/2020/04)
- [March 2020 (27)](https://blog.commonwealth.com/independent-market-observer/archive/2020/03)
- [February 2020 (21)](https://blog.commonwealth.com/independent-market-observer/archive/2020/02)
- [January 2020 (21)](https://blog.commonwealth.com/independent-market-observer/archive/2020/01)
- [December 2019 (23)](https://blog.commonwealth.com/independent-market-observer/archive/2019/12)
- [November 2019 (22)](https://blog.commonwealth.com/independent-market-observer/archive/2019/11)
- [October 2019 (24)](https://blog.commonwealth.com/independent-market-observer/archive/2019/10)
- [September 2019 (21)](https://blog.commonwealth.com/independent-market-observer/archive/2019/09)
- [August 2019 (26)](https://blog.commonwealth.com/independent-market-observer/archive/2019/08)
- [July 2019 (26)](https://blog.commonwealth.com/independent-market-observer/archive/2019/07)
- [June 2019 (22)](https://blog.commonwealth.com/independent-market-observer/archive/2019/06)
- [May 2019 (22)](https://blog.commonwealth.com/independent-market-observer/archive/2019/05)
- [April 2019 (23)](https://blog.commonwealth.com/independent-market-observer/archive/2019/04)
- [March 2019 (23)](https://blog.commonwealth.com/independent-market-observer/archive/2019/03)
- [February 2019 (19)](https://blog.commonwealth.com/independent-market-observer/archive/2019/02)
- [January 2019 (23)](https://blog.commonwealth.com/independent-market-observer/archive/2019/01)
- [December 2018 (21)](https://blog.commonwealth.com/independent-market-observer/archive/2018/12)
- [November 2018 (24)](https://blog.commonwealth.com/independent-market-observer/archive/2018/11)
- [October 2018 (25)](https://blog.commonwealth.com/independent-market-observer/archive/2018/10)
- [September 2018 (19)](https://blog.commonwealth.com/independent-market-observer/archive/2018/09)
- [August 2018 (24)](https://blog.commonwealth.com/independent-market-observer/archive/2018/08)
- [July 2018 (21)](https://blog.commonwealth.com/independent-market-observer/archive/2018/07)
- [June 2018 (22)](https://blog.commonwealth.com/independent-market-observer/archive/2018/06)
- [May 2018 (23)](https://blog.commonwealth.com/independent-market-observer/archive/2018/05)
- [April 2018 (22)](https://blog.commonwealth.com/independent-market-observer/archive/2018/04)
- [March 2018 (23)](https://blog.commonwealth.com/independent-market-observer/archive/2018/03)
- [February 2018 (20)](https://blog.commonwealth.com/independent-market-observer/archive/2018/02)
- [January 2018 (25)](https://blog.commonwealth.com/independent-market-observer/archive/2018/01)
- [December 2017 (21)](https://blog.commonwealth.com/independent-market-observer/archive/2017/12)
- [November 2017 (22)](https://blog.commonwealth.com/independent-market-observer/archive/2017/11)
- [October 2017 (21)](https://blog.commonwealth.com/independent-market-observer/archive/2017/10)
- [September 2017 (22)](https://blog.commonwealth.com/independent-market-observer/archive/2017/09)
- [August 2017 (20)](https://blog.commonwealth.com/independent-market-observer/archive/2017/08)
- [July 2017 (20)](https://blog.commonwealth.com/independent-market-observer/archive/2017/07)
- [June 2017 (25)](https://blog.commonwealth.com/independent-market-observer/archive/2017/06)
- [May 2017 (22)](https://blog.commonwealth.com/independent-market-observer/archive/2017/05)
- [April 2017 (21)](https://blog.commonwealth.com/independent-market-observer/archive/2017/04)
- [March 2017 (23)](https://blog.commonwealth.com/independent-market-observer/archive/2017/03)
- [February 2017 (21)](https://blog.commonwealth.com/independent-market-observer/archive/2017/02)
- [January 2017 (22)](https://blog.commonwealth.com/independent-market-observer/archive/2017/01)
- [December 2016 (21)](https://blog.commonwealth.com/independent-market-observer/archive/2016/12)
- [November 2016 (22)](https://blog.commonwealth.com/independent-market-observer/archive/2016/11)
- [October 2016 (23)](https://blog.commonwealth.com/independent-market-observer/archive/2016/10)
- [September 2016 (22)](https://blog.commonwealth.com/independent-market-observer/archive/2016/09)
- [August 2016 (21)](https://blog.commonwealth.com/independent-market-observer/archive/2016/08)
- [July 2016 (23)](https://blog.commonwealth.com/independent-market-observer/archive/2016/07)
- [June 2016 (24)](https://blog.commonwealth.com/independent-market-observer/archive/2016/06)
- [May 2016 (22)](https://blog.commonwealth.com/independent-market-observer/archive/2016/05)
- [April 2016 (25)](https://blog.commonwealth.com/independent-market-observer/archive/2016/04)
- [March 2016 (24)](https://blog.commonwealth.com/independent-market-observer/archive/2016/03)
- [February 2016 (23)](https://blog.commonwealth.com/independent-market-observer/archive/2016/02)
- [January 2016 (20)](https://blog.commonwealth.com/independent-market-observer/archive/2016/01)
- [December 2015 (24)](https://blog.commonwealth.com/independent-market-observer/archive/2015/12)
- [November 2015 (22)](https://blog.commonwealth.com/independent-market-observer/archive/2015/11)
- [October 2015 (25)](https://blog.commonwealth.com/independent-market-observer/archive/2015/10)
- [September 2015 (22)](https://blog.commonwealth.com/independent-market-observer/archive/2015/09)
- [August 2015 (23)](https://blog.commonwealth.com/independent-market-observer/archive/2015/08)
- [July 2015 (25)](https://blog.commonwealth.com/independent-market-observer/archive/2015/07)
- [June 2015 (25)](https://blog.commonwealth.com/independent-market-observer/archive/2015/06)
- [May 2015 (23)](https://blog.commonwealth.com/independent-market-observer/archive/2015/05)
- [April 2015 (23)](https://blog.commonwealth.com/independent-market-observer/archive/2015/04)
- [March 2015 (23)](https://blog.commonwealth.com/independent-market-observer/archive/2015/03)
- [February 2015 (22)](https://blog.commonwealth.com/independent-market-observer/archive/2015/02)
- [January 2015 (21)](https://blog.commonwealth.com/independent-market-observer/archive/2015/01)
- [December 2014 (24)](https://blog.commonwealth.com/independent-market-observer/archive/2014/12)
- [November 2014 (19)](https://blog.commonwealth.com/independent-market-observer/archive/2014/11)
- [October 2014 (26)](https://blog.commonwealth.com/independent-market-observer/archive/2014/10)
- [September 2014 (22)](https://blog.commonwealth.com/independent-market-observer/archive/2014/09)
- [August 2014 (24)](https://blog.commonwealth.com/independent-market-observer/archive/2014/08)
- [July 2014 (24)](https://blog.commonwealth.com/independent-market-observer/archive/2014/07)
- [June 2014 (24)](https://blog.commonwealth.com/independent-market-observer/archive/2014/06)
- [May 2014 (25)](https://blog.commonwealth.com/independent-market-observer/archive/2014/05)
- [April 2014 (23)](https://blog.commonwealth.com/independent-market-observer/archive/2014/04)
- [March 2014 (24)](https://blog.commonwealth.com/independent-market-observer/archive/2014/03)
- [February 2014 (20)](https://blog.commonwealth.com/independent-market-observer/archive/2014/02)
- [January 2014 (23)](https://blog.commonwealth.com/independent-market-observer/archive/2014/01)
- [December 2013 (23)](https://blog.commonwealth.com/independent-market-observer/archive/2013/12)
- [November 2013 (24)](https://blog.commonwealth.com/independent-market-observer/archive/2013/11)
- [October 2013 (27)](https://blog.commonwealth.com/independent-market-observer/archive/2013/10)
- [September 2013 (23)](https://blog.commonwealth.com/independent-market-observer/archive/2013/09)
- [August 2013 (26)](https://blog.commonwealth.com/independent-market-observer/archive/2013/08)
- [July 2013 (23)](https://blog.commonwealth.com/independent-market-observer/archive/2013/07)
- [June 2013 (22)](https://blog.commonwealth.com/independent-market-observer/archive/2013/06)
- [May 2013 (26)](https://blog.commonwealth.com/independent-market-observer/archive/2013/05)
- [April 2013 (24)](https://blog.commonwealth.com/independent-market-observer/archive/2013/04)
- [March 2013 (24)](https://blog.commonwealth.com/independent-market-observer/archive/2013/03)
- [February 2013 (20)](https://blog.commonwealth.com/independent-market-observer/archive/2013/02)
- [January 2013 (30)](https://blog.commonwealth.com/independent-market-observer/archive/2013/01)
- [December 2012 (34)](https://blog.commonwealth.com/independent-market-observer/archive/2012/12)
- [November 2012 (39)](https://blog.commonwealth.com/independent-market-observer/archive/2012/11)
- [October 2012 (42)](https://blog.commonwealth.com/independent-market-observer/archive/2012/10)
- [September 2012 (36)](https://blog.commonwealth.com/independent-market-observer/archive/2012/09)
- [August 2012 (30)](https://blog.commonwealth.com/independent-market-observer/archive/2012/08)
- [July 2012 (31)](https://blog.commonwealth.com/independent-market-observer/archive/2012/07)
- [June 2012 (18)](https://blog.commonwealth.com/independent-market-observer/archive/2012/06)

see all

### Subscribe

- [RSS](https://blog.commonwealth.com/independent-market-observer/rss.xml)

### Disclosure

The information on this website is intended for informational/educational purposes only and should not be construed as investment advice, a solicitation, or a recommendation to buy or sell any security or investment product. Please contact your financial professional for more information specific to your situation.

Certain sections of this commentary contain forward-looking statements that are based on our reasonable expectations, estimates, projections, and assumptions. Forward-looking statements are not guarantees of future performance and involve certain risks and uncertainties, which are difficult to predict. Past performance is not indicative of future results. Diversification does not assure a profit or protect against loss in declining markets.

The S&P 500 Index is a broad-based measurement of changes in stock market conditions based on the average performance of 500 widely held common stocks. All indices are unmanaged and investors cannot invest directly in an index.

The MSCI EAFE (Europe, Australia, Far East) Index is a free float‐adjusted market capitalization index that is designed to measure the equity market performance of developed markets, excluding the U.S. and Canada. The MSCI EAFE Index consists of 21 developed market country indices.

The Dow Jones Industrial Average is computed by summing the prices of the stocks of 30 large companies and then dividing that total by an adjusted value, one which has been adjusted over the years to account for the effects of stock splits on the prices of the 30 companies. Dividends are reinvested to reflect the actual performance of the underlying securities.

The Russell 2000 is a market-capitalization weighted index, with dividends reinvested, that consists of the 2,000 smallest companies within the Russell 3000 Index. It is often used to track the performance of U.S. small market capitalization stocks.

One basis point (bp) is equal to 1/100th of 1 percent, or 0.01 percent.

The VIX (CBOE Volatility Index) measures the market’s expectation of 30-day volatility across a wide range of S&P 500 options.

The forward price-to-earnings (P/E) ratio divides the current share price of the index by its estimated future earnings.

Third-party links are provided to you as a courtesy. We make no representation as to the completeness or accuracy of information provided on these websites. Information on such sites, including third-party links contained within, should not be construed as an endorsement or adoption by Commonwealth of any kind. You should consult with a financial advisor regarding your specific situation.

Member [FINRA](http://www.FINRA.org), [SIPC](http://www.SIPC.org)

Please review our [Terms of Use](https://www.commonwealth.com/terms-of-use).  <http://www.commonwealth.com/termsofuse.html>

Commonwealth Financial Network®

<http://wordpress.com/?ref=footer>