### Economic News Recap: July 19, 2024### Economic News Recap: July 19, 2024 Technical Issues Cause Market Chaos: * A technical issue disrupted services for airlines, banks, and other businesses, leading to chaos on the trading floor. S&P 500 Index Suffers Worst Week Since April: * The S&P 500 Index fell significantly, marking its worst week since April after hitting a record high earlier in the week. * Big tech stocks, including Nvidia, contributed to the decline. Jobless Claims Rise, Economic Slowdown Concerns: * The Labor Department reported an increase in jobless claims, indicating potential economic challenges. * This marks the eighth consecutive week that claims have exceeded 220,000. Retail Sales Remain Flat Despite Economic Slowdown: * The Commerce Department reported flat retail sales for June, following upward revisions in May’s numbers. * Auto dealerships and gas stations impacted overall results, while other sectors saw a 0.8% increase. * Analysts suggest that consumer spending remains resilient despite economic concerns. Journal Record Stock Index Rises, BancFirst Leads Gains: * The Journal Record Stock Index closed higher, with BancFirst posting a notable gain of 14.80%. * BancFirst’s financial performance exceeded analysts’ expectations. AAON and EDUC Post Losses: * AAON fell due to a sell-off by SEI Investments. * Educational Development Corporation widened its loss but its stock price rose due to positive market sentiment.
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A technical issue caused chaos for airlines, banks and many other companies when our trading session ended on July 19, 2024.
The S&P 500 Index fell for its worst week since April after hitting a new high earlier in the week. Big tech names and the Nasdaq fell after stock giant Nvidia fell 8.8% for the week.
The Labor Department reported that jobless claims rose 20,000 from the previous week to 243,000, marking the eighth straight week that claims have topped 220,000.
Despite evidence of an economic slowdown, the Commerce Department said retail sales in June were flat from the previous month, after revising May’s results upward to a 0.3% increase. Sales at auto dealerships and gas stations weighed on overall results; otherwise, sales rose 0.8% in June. Dealerships suffered a multi-day outage after cyberattacks on a software vendor.
“This (retail report) was a legitimately strong report and inconsistent with a consumer on the brink of the abyss,” Richard de Chazal, a macro analyst at William Blair, wrote in a report. “This spending is being driven by still positive (though moderating) real income growth, from a consumer who is still broadly employable.”
The Journal Record Stock Index rose 33.47 points, or 1.42 percent, to close at 2,389.36. Rising issues outpaced declining issues by a margin of 3 to 1.
BancFirst rose 13.52 points, or 14.80%. For the second quarter, BANF posted net income of $50.6 million, or $1.51 per share, compared to $1.64 in the year-ago quarter. Revenues were $153.84 million, compared to $153.9 million a year ago. Analysts surveyed by Zacks had expected earnings of $1.42 per share. Revenues topped estimates by 2.73%. BANF closed at $104.88, the biggest dollar gainer.
AAON fell 3.09 points, or 3.43%. During the quarter, SEI Investments increased its holdings by 2,985 shares, now owning 146,419 shares. According to a recent filing with the Securities and Exchange Commission, SEI owns $12,908,000 worth of AAON stock. AAON closed at 86.94, the biggest dollar and percentage loser.
Educational Development Corporation widened its loss for the first quarter of fiscal 2025, but shares rose 0.41 points, or 21.58%. EDUC lost $1.3 million, or $0.15 per share, compared with a loss of $0.9 million, or $0.11 per share, last year. Net revenue was $10 million, compared with revenue of $14.5 million in the year-ago quarter. EDUC closed at 2.31, the biggest percentage gainer.
