There was quite a bit of data for investors to analyze last week. The FED announced an aggressive mortgage purchase program to help stimulate the economy until the labor market improves. Small business optimism rose in August to a 92.9 reading, it’s first increase in four months, as owners expect better business conditions. New claims for jobless benefits rose by 15,000 to 382,000, its highest level in two months due to tropical storm Isaac.
In July new construction fell by 1.1 percent, but building permits jumped 6.8 percent to its highest rate since August 2008. We’ll also get the august existing home sales report. In July resales rose 2.3 percent, its first increase in three months. We’ll gain further insight on the economy with the August leading indicators report. In July, leading indicators rose 4 tenths of 1 percent, due to a decline in new claims for jobless benefits.