More
“positive” than “negative” economic reports were released during the last 2
weeks indicating the U.S. economy continues to show improvement.  New home sales, stronger payroll data, higher
level of manufacturing & construction, lower trade deficit, and stronger
consumer sentiment all pointed toward the “positive” direction.  And, the 3rd quarter Gross
Domestic Product (an approximation of the U.S. economic output) came in at 3.6%
annualized increase versus a 3.1% expectation. 

On
the negative side, interest rates moved higher thus reducing the number of
refinancing of home mortgages. 
Additionally, a significant increase in inventories occurred – consumers
need to buy these products sitting on the shelves in order to keep the economic
ball rolling forward.