Climbing Back
The major U.S. stock indexes rebounded from the previous week’s modest declines to post gains of around 2.0% to 3.0%. Although stocks have recently traded in a fairly narrow range, the S&P 500 was up 8.0% on Friday from a recent low in mid-June.
Labor Market Setback
The number of Americans submitting initial claims for unemployment benefits climbed to 251,000, rising for the third week in a row to the highest level in eight months. This closely watched job market health indicator signals a slowing U.S. economy.
Weak Results
With the earnings season now more than 20% completed, the proportion of S&P 500 companies that are beating analysts’ earnings expectations is smaller than usual. About 68% had exceeded net income expectations as of Friday, trailing the five year average of 77%, according to FactSet.
How High?
The U.S. Federal Reserve is widely expected to approve another big interest-rate increase at Wednesday’s U.S. policy meeting. In June, 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 meeting, with some economists expecting rates will go up a full percentage point.
For a limited time, Casey Marx- Founder & CEO of Crown Haven Wealth Advisors, is accepting new clients. Many have said they’re concerned about inflation and rising interest rates.
Now, tapping into 40 years of combined experience, Casey and his team of experts are here to help. Secure your retirement. Click here to schedule a complimentary relationship visit or call (317) 564-4691 to speak with one of our specialists.