Market Drama

Welcome to this week’s Market Drama!

• Stock Market:
  • The S&P 500 fell 0.28%.
  • Dow Jones was also down.
  • Nasdaq was up for the week. 
  • Government bond yields rose for the fourth consecutive week. 
• What drove this market action?
  • (1) January’s Producer Price Index came out hotter than expected. It rose 0.7%, while estimates were 0.4%.
  • (2) Two Fed officials made statements that hinted at what would happen with interest rates. 

What to look out for next week: 

• Core PCE index data for January. 
• We are closing up earnings season. 
• More of macro data and implications for what the Fed will do regarding interest rates. 

Stay tuned for next week. 

– Andres