Market Notebook
Discussion –
PRICE ACTION:
Equity prices, as measured by the ticker SPY, closed higher last week, while bond prices, as measured by the ticker BND, closed lower.
SPY +1.15%
BND -0.45%
TECHNICAL ANALYSIS:
SPY price appears established in an upward trend.
BND price appears established in an upward trend.
SENTIMENT:
Market participants are taking a “glass half full” attitude towards U.S. equities as corporate growth continues and inflation expectations remain anchored around the Federal Reserve’s target.
ECONOMY AND FUNDAMENTALS:
Throughout the tightening cycle, jobless claims have never indicated a recession by our measure. We will continue to monitor weekly jobless claims closely.
Market participants should be on the lookout for recessionary conditions following the first rate cut after a tightening cycle. Thus far, the Federal Reserve has managed the economic cycle well.
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.