Friends
Stocks got off to a good start at the open this morning but had trouble holding onto those gains as the trading session wore on. Bond yields continued their push higher, with the 10-year Treasury Note yield moving back above 3%. We are in a period where we have to wait a month before we get the next earnings report card from Corporate America, so the focus is on inflation and Fed commentary. Remember we get the Consumer Price Index number on Friday and of course we are expecting the Fed to raise the Fed Funds rate another 50 basis points at next week’s FOMC meeting.
In the meantime, for the day the Dow Jones Industrial Average was up 16 points to close at 32,915. The S&P 500 was up 12 points to finish the day at 4,121. The Nasdaq Composite Index was up 48 points to close at 12,061. Gold was down $5 to trade at $1,884 per ounce, while oil was down $.85 to trade at $118.02 per barrel WTI.
Volatility is likely to continue, perhaps at a slower pace, as we work through the unknowns ahead. Friday’s inflation number will be important but remember it’s just one number and the Fed is likely to want to see a series of numbers before deciding on just where to land with the Fed Funds rate. Stay tuned, it should be an interesting week.
Have a nice evening everyone.
