Monthly Archives: January 2024

The Weekly Update

Week of January 29th, 2024
By Christopher T. Much, CFP®, AIF®

Stocks continued their upward climb last week as excitement around big tech continued; positive economic reports stoked investors’ belief that the Federal Reserve has pulled off a soft landing.

Stocks Power Ahead
Big tech was back last week, pushing the Dow and the S&P 500 to new highs early in the week as markets resumed the late Q4 rally.

The so-called “Magnificent Seven” stocks—comprising 28% of the S&P 500 Index—resumed their pole position at the head of the pack as investors maintained their artificial intelligence (AI)-related bullishness and rewarded widespread cost-cutting at many tech giants. While the rally fizzled on Friday, the week’s gains were slow but steady.

The big economic news last week was better-than-expected economic growth and inflation news. Real Gross Domestic Product grew at a 3.3% annualized clip in Q4 2023, ahead of Wall Street consensus expectations of …

The Weekly Update

Week of January 22nd, 2024
By Christopher T. Much, CFP®, AIF®

Stocks finished higher last week, with big tech again leading amid lingering uncertainty over how continued economic strength would influence the Fed’s rate decision.

Stocks Dip, Then Rally
Stock prices dropped early in the week before rising to new highs as the week ended. The four-day trading week began with more Q4 bank earnings, which disappointed. The news pushed the financial sector and the broader S&P 500 Index lower on Tuesday. The yield on the 10-year Treasury climbed after a Fed Governor said the central bank may adjust rates as much as markets expect. That and a stronger-than-expected holiday retail sales report put pressure on stock prices.

Tech stocks drove the Thursday rally, with the S&P and Nasdaq recouping their 2024 losses. Stocks continued their tech-led climb on Friday, with the S&P 500 rising to an all-time high—its first record …

The Weekly Update

Week of January 16th, 2024
By Christopher T. Much, CFP®, AIF®

Stocks pushed higher last week, led by big tech names, and boosted by December inflation reports that were mixed but positive enough to shore up investor confidence in Fed rate cuts this year.

Stocks Rock and Roll
It was a rocky week that ended on a high note. Stocks rallied on Monday after the prior week’s decline. Tech shares led, with the Nasdaq posting its best day since November 14.

On Tuesday, stocks initially tumbled but recovered most of their losses late in the session. Stocks rallied on Wednesday ahead of inflation news the following two trading days. Stocks fell initially on Thursday in response to a hotter-than-expected inflation report, reflecting investor concerns about the certainty, timing, and extent of Fed rate cuts later this year.

On Friday, the start of earnings season brought mixed results from a handful of major …

The Weekly Update

Week of January 8th, 2024
By Christopher T. Much, CFP®, AIF®

Stocks retreated in the first trading week of 2024, struggling a bit after a celebratory end to last year as investors second-guessed Fed signals and fretted over lingering inflation concerns.

New Year Blues
Stocks got off to a rough first week of the new year, with tech names leading the week’s decline. Several market observers called it the “reverse Goldilocks” effect, where the market decided investors were getting a little too excited over the prospect of a Fed rate cut.

Stocks bounced up and down each of the four trading days but ended each one down—except Friday, when the Dow Industrials, Nasdaq Composite, and S&P 500 all ended the day in the green when jobs data helped soften the week’s slide

All About The Fed
On Wednesday, manufacturing news came in better than expected, lifting markets until the December Federal Open Market …

The Weekly Update

Week of January 2nd, 2023
By Christopher T. Much, CFP®, AIF®

Stocks posted a slight gain last week amid a shortage of news and light holiday trading.

The Dow Jones Industrial Average gained 0.76%, while the Standard & Poor’s 500 added 0.49%. The Nasdaq Composite index advanced 0.32% for the week. The MSCI EAFE index, which tracks developed overseas stock markets, increased 1.13%.

Stocks Gain To End Year
The stock market gains in the final trading days of 2023 capped an exceptional year of performance. The last-week rally also mirrored the historical tendency of stocks to rise at this time of year, a propensity known as the “Santa Claus rally.” The Santa Claus rally covers the final five trading days of the calendar year and the first two days of trading in January.

The average return of the S&P 500 during this Santa Claus rally is 1.3% during the past 73 years. …