This Weekly Financial Markets Update reviews the top market headlines: Turbulent Month Tempers Job Market Growth, U.S. GDP Expands 2.8% in Q3, Home Price Gains Slow
  • The U.S. added just 12,000 jobs in October
  • U.S. GDP rose at a 2.8% annual rate in Q3 2024
  • Home prices in the U.S. increased 5.2% in August versus the prior year

Top Three Market Headlines

Turbulent Month Tempers Job Market Growth: The U.S. Department of Labor reported last week that the U.S economy added just 12,000 jobs in October, missing economists' expectations of 100,000. Employment conditions across the country were impacted by a series of external events during the month, including Hurricanes Helene and Milton along with strike activity among dockworkers and at Boeing. The report also noted that the number of job additions over the prior two months was revised down by a combined 112,000. Average hourly earnings in October were up 4.0% from a year ago, the fastest pace in five months, while the unemployment rate was unchanged at 4.1%.

U.S. GDP Expands 2.8% in Q3: The U.S. Bureau of Economic Analysis reported last week that real (inflation-adjusted) U.S. gross domestic product (GDP), a measure of all goods and services produced, grew in the third quarter of 2024 at an estimated annual rate of 2.8%. Combined with the 3.0% pace of growth in Q2, this provided further evidence that the economy strengthened over the course of the year from the tepid 1.6% rate in Q1. Categories that contributed to growth in Q3 included federal government spending, exports, and consumer spending in both goods and services.

Home Price Gains Slow: Home prices across the U.S. rose once again in August, hitting new highs for the 15th consecutive month, though the pace of growth continued to decelerate. The S&P CoreLogic Case-Shiller 20-City Composite Home Price Index increased 0.4% on the month and 5.2% versus the prior year. This was the 14th straight month of year-over-year price gains, but the slowest rate of growth in 10 months. New York posted the highest annual gain in August at 8.1%, followed by Las Vegas and Chicago with increases of 7.3% and 7.2%, respectively.

As of November 01, 2024 Week Quarter-To-Date Year-To-Date One-Year
MSCI All Country World -1.22% -1.91% 16.40% 32.00%
S&P 500 -1.35% -0.50% 21.47% 37.15%
Russell 2000 0.11% -0.84% 10.23% 34.30%
MSCI EAFE -1.05% -5.31% 7.00% 21.84%
MSCI Emerging Markets -1.21% -4.21% 11.94% 25.51%
FTSE NAREIT Equity -2.68% -3.97% 11.33% 34.33%
Bloomberg Commodity -2.08% -1.87% 3.88% -0.77%
Bloomberg U.S. Aggregate -0.61% -2.92% 1.40% 8.99%

WSJ 11/1/24, S&P Global 10/29/2024, WSJ 10/30/24, US DOL 11/1/2024, US Bureau of Economic Analysis 10/30/2024. Data from Morningstar Direct. Returns for periods greater than one year are annualized. Investment advisory, named and independent fiduciary services are offered through Gallagher Fiduciary Advisors, LLC, an SEC Registered Investment Adviser. Gallagher Fiduciary Advisors, LLC does not express an investment opinion regarding any specific commodity, sector or individual security. Unless otherwise expressly noted, the contents of this communication do not constitute securities or investment advice, nor should this communication be construed as an opinion regarding the appropriateness of any investment. Gallagher Fiduciary Advisors, LLC is a single-member, limited-liability company, with Gallagher Benefit Services, Inc. as its single member. Neither Arthur J. Gallagher & Co., Gallagher Fiduciary Advisors, LLC nor their affiliates provide accounting, legal or tax advice. The information provided cannot take into account all the various factors that may affect your particular situation, therefore you should consult your Gallagher Fiduciary Advisors consultant before acting upon any information or recommendation contained herein to discuss the suitability of the information/recommendation for your specific situation.