US Equity Markets touched new highs again last week before succumbing to profit-taking on Friday, as Fed Chairman Powell testified before Congress that the Fed may be close to lowering interest rates. The S&P 500 dropped 0.3% for the week to bring its gains for the year to 7.4%. The Nasdaq fell 1.2% for the week and is now up 7.2% for the year, while the Russell 2000 (small cap stocks) was up 0.3% for the week and is now up 2.7% for the year.
Global Equity Markets rose last week following positive inflation forecasts by the European Central Bank. Developed Markets rallied 2.3% for the week and are now up 5.1% for the year. Emerging Markets rose 1.2% for the week and are now up 1.3% for the year.
US Economic Data suggest some softening in the labor markets. Payrolls for February rose 275K, better than expectations of 198K and up from a revised 229K in January. However, the Unemployment Rate moved higher to 3.9% from 3.7% in January, the highest level it has been since January 2022. Average Hourly Earnings were up 4.3% from a year ago, down from 4.4% in January, while Job Openings for January of 8.86 million continued to drift lower.
Of Interest to Us
Gold prices are hitting record highs. With the Street focus remaining on things like artificial intelligence (AI) and technology stocks, it has caught our attention that Gold hit all-time highs last week. Could this mean that higher inflation may be around the corner, or that interest rates could be coming down?
Market Data
for the week ending 3/8/2024
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