Economic data last week included recent month improvements in consumer and producer inflation, as well as consumer sentiment, tempered results in industrial production and retail sales, and a mixed bag of housing data. Based on flare-ups in the Middle East, a variety of economic data points have been prone to sharp back and forth reversals by month.

Economic data highlights last week included a slight decline in ISM services, although the metric stayed in solid expansion, along with a drop in existing home sales. The FOMC meeting minutes continued to show concern over the duration of the recent inflation rise.

On the shortened Independence Day holiday week, economic data included a disappointing employment situation report for June, while improvements were seen in consumer confidence and job openings, as well as a small drop but continued expansionary pace in ISM manufacturing. Home prices continued to inch along at growth rates below inflation.

Economic data included a revision upward for Q1 U.S. GDP growth, continued gains in personal income and spending, strength in manufacturing and services PMI data, and a reversal upward in consumer sentiment. However, durable goods orders and new home sales fell back.

On a holiday-shortened week, economic data included the Federal Reserve holding interest rates steady, gains in retail sales and industrial production, while housing starts and homebuilder sentiment deteriorated.

It has been a great few years to keep money in cash! High yield savings, money markets, CDs, etc. have all given us strong yields and continue to sit at higher yields than we have received on average over the last 20 years.