"U.S. equity markets experienced a mixed week as investors balanced strong market momentum with growing signs of economic uncertainty. The S&P 500 briefly crossed the 7,000 level for the first time before pulling back slightly, ending the week modestly higher. Large-cap value stocks outperformed growth stocks, while smaller companies lagged, reflecting a more cautious investor mood. Within the S&P 500, communication services and energy stocks led gains, while healthcare stocks faced the most pressure."
"Economic data sent mixed signals. Consumer confidence dropped sharply in January, reaching its lowest level in nearly a decade. This suggests households are becoming more concerned about the economic outlook and job market. However, the labour market itself remained relatively stable, with weekly jobless claims largely unchanged and continuing claims falling to their lowest level since September."
"On the inflation and manufacturing front, durable goods orders rebounded strongly, indicating renewed business investment. Producer prices rose more than expected, driven mainly by higher service costs, which may keep inflation concerns alive. The Federal Reserve kept interest rates unchanged following three consecutive cuts, signalling confidence in the economy's resilience."
"Fed Chair Jerome Powell emphasized that future decisions would depend on incoming data. Political attention also turned to Washington, as former Fed governor Kevin Warsh was nominated to succeed Powell when his term ends in May. Europe: Gradual recovery continues amid uneven growth European markets ended the week modestly higher overall, supported by improving economic sentiment and stronger earnings expectations."
U.S. equity markets were mixed, with the S&P 500 briefly surpassing 7,000 before ending the week modestly higher. Large-cap value outperformed growth while smaller companies lagged; communication services and energy led gains and healthcare lagged. Consumer confidence plunged to its lowest level in nearly a decade, yet the labour market remained relatively stable as weekly jobless claims stayed largely unchanged and continuing claims fell. Durable goods orders rebounded and producer prices rose, driven by higher service costs, keeping inflation concerns alive. The Federal Reserve held rates steady after three cuts and tied future moves to incoming data. European markets showed uneven but modest recovery.
#us-equities #consumer-confidence #inflation--manufacturing #federal-reserve-policy #european-markets
Read at London Business News | Londonlovesbusiness.com
Unable to calculate read time
Collection
[
|
...
]