Market Notebook
Discussion –
PRICE ACTION:
Equity prices, as measured by ticker SPY, and bond prices, as measured by ticker BND, closed higher on the week.
TECHNICAL ANALYSIS:
SPY’s price appears established in an upward trend, while BND’s price action suggests consolidation.
SENTIMENT:
Market participant sentiment appears neutral. Latest corporate earnings reports paint a picture that suggests companies are adequately navigating the twin threats of inflation and Federal Reserve tightening. At least through the first quarter of the year.
As tightening continues, corporates may find profits constrained.
ECONOMY AND FUNDAMENTALS:
Economic indicators within the Market Notebook remain mixed. Real economic activity will likely slow over the next few months as the Federal Reserve works to contain inflationary pressures.
Jobless claims are to be watched as a key indicator of a potential recession. Thus far, jobless claims are not suggesting a recession is imminent.
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.