Another Setback
A rally on Friday in the wake of a solid report on monthly retail sales wasn’t enough to offset the stock market’s rough start to the week. The major U.S. indexes recorded small declines, falling for the 12th week out of the past 15.
Retail Resilience
U.S. retail sales rose 1.0% in June, slightly above expectations despite surging inflation and recently weak consumer sentiment readings. However, the sales gain that the government reported on Friday wasn’t adjusted for inflation, which rose 1.3% in June, indicating that real sales were slightly negative.
Earnings Kickoff
A handful of major U.S. banks kicked off earnings season with mixed results. Entering earnings season, analysts were forecasting that second-quarter earnings for banks in the S&P 500 fell 26% from a year ago, in part due to higher costs from provisions for loan losses, according to FactSet.
Fed Ahead
With the U.S. annual inflation rate now at 9.1%, policymakers face pressure to approve another big interest-rate increase at Wednesday’s U.S. Federal Reserve policy meeting. At its mid-June meeting, the Fed lifted its short-term target range by three-quarters of a percentage point- the biggest hike since 1994 and a similar steep increase is expected heading into this week’s gathering, with some economists expecting rates will go up a full percentage point.
We are Indiana’s #1 fiduciary with 40 years of combined experience is offering a limited number of spots for our free financial planning sessions. No cost. No obligation.
And our team is happy to meet with you online or in our offices located in Carmel, IN.
It’s not too late to secure your retirement for a future you can truly rely on. Click here to schedule a complimentary relationship visit or call (317) 564-4691 to speak with one of our specialists.