Weekly Market Wrap: Stocks finished lower for the 3rd straight week of 2022 as traders considered higher interest rates and a more aggressive Federal Reserve.
For The Week
• The S&P 500 dropped 5.68% to 4,397.94
• Oil added 1.57% to $85.14
• Gold gained 0.73% to $1,830.00
• The US dollar was flat at $95.16 other major world currencies.
2022 Year-To Date for the major indexes:
• The S&P Index -7.73%
• The Dow Jones Index -5.70%
• The NASDAQ Index -11.99%
• The Russell 2000 Small cap Index -11.46%
• EAFE International Index -2.97%
• 10 Year Treasury Yield is 1.75%, lower for the week and higher for the year
• 30 Year Treasury Yield is 2.07%, lower for the week and higher for the year
• WTI Crude Oil Index +13.20%
• Bloomberg Gold Index -0.07%
• The Dollar Index -0.45% against other major world currencies
Monday markets were closed.
Tuesday stocks dropped 86 points on heavy volume as NY manufacturing fell and missed while homebuilder sentiment also fell and missed estimates.
Wednesday the S&P 500 lost 44 points on heavy volume as mortgage applications rose and both housing starts and building permits rose and beat expectations.
Thursday stocks dropped another 50 points on heavy volume as jobless claims rose a more than expected, continuing claims were higher and existing home sales fell and missed estimates.
Friday the S&P 500 tumbled 85 points on heavy volume as leading economic indicators rose and matched expectations.
Mortgage rates were higher last week. The national averages as reported by Bankrate.com indicate a 15-year rate of 2.92% and a 30-year rate of 3.59%. These rates are as of 1/24/2022 and may include points.
What to watch for on the economic calendar this week:
Monday –No major data
Tuesday – FHFA & Shiller
Home Prices / Consumer Confidence
Wednesday – Mortgage Applications / New Home Sales / FOMC Rate Decision
Thursday – Jobless Claims / Pending Home Sales / Durable Goods Orders / GDP 4th Quarter – First Estimate
Friday – Personal Income & Spending / PCE Prices / Employment Costs / Consumer Sentiment
Ronald J. VanSurksum, CFP® Advanced Asset Management, LLC
January 24, 2022