Stocks suffered this week, with the Dow ending down 3.29%, the S&P 3.77% and the Nasdaq 5.01%. Among many factors bringing down the markets this week was an unexpected rise in weekly jobless claims. Also, Cisco had earnings that beat consensus numbers, but were weaker than the all-important “whisper numbers,” casting further doubt on a smooth recovery. Much of the week’s losses can be attributed to this fear of a continued rocky recovery. Volume was light this week, however, so whoever did bring the volume was in the mood for selling.

Master limited partnerships have been getting attention recently. An MLP has the tax benefits of a limited partnership with the liquidity of a publicly traded company. An MLP pays out nearly all of is profits to shareholders. The arrangement creates a tax headache, as our clients have reminded us, but we maintain that the yields from an MLP can be more than worth it.

Next week, we look for weekly claims (as always), housing starts, and manufacturing and industrial production numbers to dictate trading.

This week’s factoid: The Great Chicago Fire of 1871 killed an estimated 200-300 people. In comparison, Moscow is losing upwards of 700 people per day in its current heatwave, while wildfires outside the city have claimed at least 54 lives.