Weekly Economic Review | July 25, 2022 | Stephens

Who We Are

What We Do

We provide investment banking, research, sales and trading, asset and wealth management, public finance, insurance, private capital, and family office services.

About Us

We are a family-owned financial services firm that values client relationships, long-term stability, and supporting the communities where we live and work.

The Stephens Story

The idea of family defines our culture, because each of us knows that our reputation is on the line as if our own name was on the door.


Our reputation as a leading independent financial services firm is built on the stability of our longstanding and highly experienced senior executives.

Impact Initiatives

We are committed to corporate philanthropy; economic and financial literacy advocacy; and diversity, equity, and inclusion initiatives.

Our Brand Ambassadors

Stephens is proud to sponsor the PGA TOUR, LPGA Tour, and PGA TOUR Champions careers, as well as applaud the philanthropic endeavors, of our Brand Ambassadors.

Making Connections

We host many highly informative meetings each year with clients, industry decision makers, and thought leaders across the U.S. and in Europe.

Our Businesses

Capital Management

We provide fiduciary investment strategies to public-and private-sector institutional clients through asset allocation, consulting, and retirement services.

Fixed Income Sales & Trading

Decades of proven performance and experience in providing tailored fixed income trading and underwriting services to major municipal and corporate issuers.

Institutional Equities and Research

Proven industry-leading research, global market insights, and client-focused execution.


Customized risk management, property & casualty, executive strategies and employee benefits solutions that protect our clients over the long term.

Investment Banking

We assist companies with accessing capital through innovative advisory and execution services that help firms achieve their strategic goals.

Private Capital

We have been a trusted and reliable source of capital for private companies for over 70 years.

Private Wealth Management

Our experienced Private Client Group professionals develop customized investment strategies to help clients achieve their financial goals.

Public Finance

We are a trusted municipal advisor with proven expertise in public financings. We also work with clients in negotiated and competitive municipal underwritings.

Market Trends

Weekly Economic Review | July 25, 2022

Jul 25, 2022

The Labor Department reported that initial jobless claims climbed last week to their highest level since November 13, 2021.The gain signals that labor market conditions may be cooling, although they are still at a healthy level. In recent weeks, tech companies including giants like Alphabet Inc.s Google, Apple Inc., Meta Platforms Inc. and Microsoft Corp have said they will slow hiring due to global uncertainty. Claims in regular state programs increased 7,000 to 251,000 for the week ending July 16th, after reporting 244,000 initial claims the prior week. The increases in claims this week was heavily concentrated in Massachusetts with a gain of 14,100. The four-week moving average climbed to 240,500 from 236,000 the prior week. The total number of people continuing to receive regular ongoing state benefits, a report which is lagged one week, increased 51,000 to 1.384 million for the week ending July 9th.

The National Association of Home Builders/Wells Fargo reported housing sentiment dropped to its lowest level since April of 2020. Builders are getting more pessimistic as the cost to build a house meet the limits of housing affordability. The cost of financing, construction and the land continues to escalate, amid challenges with supply bottlenecks and high inflation. The index of builder sentiment fell to 55 in July from 67 last month, the seventh straight decline.

The Commerce Department reported that housing starts continued to decline in June, falling to its lowest level since September. The drop was driven by a decline in single-family homebuilding. A sharp rise in mortgage rates has pushed home affordability out of reach of many and slowed demand. Housing starts fell 2.0% in June to a 1,559,000 annualized rate following April’s 1,591,000 pace. Single-family starts retreated 8.1% in June with multi-family starts increasing 10.3%. Building permits, a gauge of future construction, fell 0.6% in June to a 1,685,000 pace.

The National Association of Realtors reported that existing home sales fell in June for the fifth straight month to its slowest pace since June of 2020. The combination of sharply higher mortgage rates and higher home prices in such a short time period is turning back potential homebuyers. Contract closing, which usually occur a month or two after a contract is signed decreased 5.4% in June to a 5.12 million pace after dropping 3.4% in May. The median selling price increased to $416,000 from $408,400 in May.

The Conference Board reported the index of leading economic indicators declined 0.8% in June, the fourth straight drop. The loss was led by a decline in consumer expectations, a drop in the average workweek, jobless claims, stock prices falling and a drop in ISM New Orders. The index of U.S. leading indicators is a gauge of the economic outlook for the next three to six months. The coincident index, a gauge of current economic activity, climbed 0.2% in June after gaining 0.2% in May.

The Mortgage Bankers Association reported the MBA index of mortgage applications fell last week for the third consecutive week and to its lowest level since February of 2020. The index decreased 6.3% for the week ending July 15th, after dropping 1.7% the previous week. Refinancing applications decreased 4.3% to 655.7 from 685.3 the prior week. Home purchase mortgage applications decreased 7.3% to 208.0. Refinancing made up 31.4% of applications with an average loan size of $276,500, while purchases average loan size was $406,600. The average contract rate on a 30-year fixed-rate mortgage climbed to 5.82% from 5.74% last week.


Friday’s yields for the 2-, 5-, 10- & 30-year Treasury benchmarks securities were 2.97%, 2.84%, 2.75% and 2.95%. The 2yr/5yr, 5yr/10yr, 10yr/30yr and 2yr/30yr spreads closed at -13, -9, 20, and -2 basis points respectively.

Economic/Events Calendar


July 25

Jun Chicago Fed Nat Activity Index (0.0)

7:30 Central


July 26

May FHFA House Price index (1.5%)

8:00 Central

May S&P CoreLogic CS 20-City Index (1.50%)

8:00 Central

Jul Conf Board Consumer Confidence (96.5)

9:00 Central

Jun New Home Sales (664k)

9:00 Central


July 27

Jul 22nd MBA Mortgage Applications

6:00 Central

Jun Advance Goods Trade Balance (-$103.2b)

7:30 Central

Jun Durable Goods Orders (-0.4%)

7:30 Central

Jun Durables Ex Transportation (0.2%)

7:30 Central

Jun Cap Goods Orders Nondef Ex Air (0.2%)

7:30 Central

Jun Wholesale Inventories (1.5%)

7:30 Central

Jun Retail Inventories (1.2%)

7:30 Central

Jun Pending Home Sales (-1.0%)

9:00 Central

FOMC Rate Decision (2.25% - 2.50%)

13:00 Central

Interest on Reserve Balances (2.40%)

13:00 Central


July 28

Jul 23rd Initial Jobless Claims (255k)

7:30 Central

2nd Qtr Gross Domestic Product (0.4%)

7:30 Central

2nd Qtr GDP Price Index (7.7%)

7:30 Central

2nd Qtr Personal Consumption (1.2%)

7:30 Central


July 29

2nd Qtr Employment Cost Index (1.2%)

7:30 Central

Jun Personal Income (0.5%)

7:30 Central

Jun Personal Spending (0.9%)

7:30 Central

Jun PCE Deflator-YOY (6.7%)

7:30 Central

Jul University of Michigan Sentiment (51.1)

9:00 Central

About the Expert

Troy Clark

Senior Vice President, Fixed Income Strategist, Fixed Income Sales & Trading

Mr. Clark has been in investment banking since 1983. He is a Chartered Financial Analyst. He has been a fixed income strategist at Stephens Inc. since 1996, developing investment strategies, policies and procedures for institutions consistent with overall asset/liability management.

Read full bio
Source: Bloomberg L.P.
  1. This report has been prepared solely for informative purposes as of its stated date and is not a solicitation, or an offer, to buy or sell any security. All expressions of opinion reflect the judgment of the individual expressing the opinion and are subject to change. This report does not purport to be a complete description of the markets or developments referred to in the material. Information included in the report was obtained from internal and external sources which we consider reliable, but we have not independently verified such information and do not guarantee that it is accurate or complete. Prices, yields, and availability are subject to change with the market. There is no assurance any forward looking statements will be realized or any of the trends mentioned will continue. Nothing in this report is intended, or should be construed, as legal, accounting, regulatory or tax advice. Additional information available upon request. 2022 Stephens Inc., Member NYSE/SIPC.