Market Notebook

PRICE ACTION:
Equity prices, as measured by the ticker SPY, closed higher, while bond prices, as measured by the ticker BND, closed marginally lower over the last week.

SPY    +1.70%
BND    -0.04%

TECHNICAL ANALYSIS:
SPY price appears to be trending higher.

BND price appears to be consolidating within a wide price range; however, price is now approaching the range highs. A break higher could signal positive price momentum.

SENTIMENT:
U.S. trade policy remains a significant factor in driving price volatility.

ECONOMY AND FUNDAMENTALS:
Economic fundamentals remain positive, with data suggesting the U.S. economy remains resilient in the face of geopolitical and trade-related turbulence.

Positive momentum in bond prices reflects a lowering interest rate environment, which tends to be accommodative to equities and asset prices generally.

It remains to be seen whether the U.S. will experience an inflationary spike in prices due to tariffs and trade-related issues. There are those economists who believe price inflation over the medium term is inevitable due to trade disruptions.

All the best during the week ahead!

Disclaimer: Nothing in this discussion should be considered investment advice. The content of this discussion is strictly my personal opinion and subject to change at a moment’s notice. Investment advice can only be provided to you by your investment professional and not by a general market discussion such as this one. If you wish to speak with an investment advisor, contact us. We can probably help.