Friends
It was a familiar pattern today. One we have seen for months now. Interest rates moved higher on fears that the Fed might not be done raising interest rates and stocks fell. We had seen stocks move up over the past week when interest rates moved lower, and the narrative was that the Fed was done raising interest rates. While rates settled lower, stocks moved higher. Not so today.
By the close, the Dow Jones Industrial Average was down 220 points to finish the day at 33,891. The S&P 500 was down 35 points to close at 4,347. The Nasdaq Composite Index was down 128 points to close at 13,521. Gold was up $5 to trade at $1,963 per ounce, while oil was up $.27 to trade at $75.60 per barrel WTI.
Fed Chair Powell’s comments this afternoon did not help the situation. He indicated that the Fed still isn’t pleased with where inflation is and that they are prepared to do more in the future to fight it. Market participants thought that fight was coming to an end. Let’s see how the week finishes out tomorrow.
Have a nice evening everyone.
