Weekly Review (December 26-30)
STOCKS
Equities rose at the start of the week as China announced it will end quarantine for inbound travelers on January 8. However, the bounce was short-lived as Wall Street stocks dropped on Wedmesday, pressured by renewed recession fears. On the data front, US pending home sales slipped 4.0% in November on a monthly basis versus the expected decline of 1.8%. Pending sales fell to the second lowest level on record, suggesting the economy is slowing. In individual stocks, Apple plunged to mid-2021 lows around $125 as the pressure intensified. In part, investors were spooked by soaring COVID cases in China after the relaxation of stringent curbs. Still, US markets tocks jumped on Thursday as investors headed into the final trading days of 2022. The Dow Jones Industrial Average rose 1.05%, the S&P 500 gained 1.75%, and the Nasdaq Composite climbed 2.59%.
30.12.2022
1104
Weekly Review (December 19-23)
STOCKS
This week, investors were surprised by the decision by the Bank of Japan to raise the cap in yields paid by long-term government bonds to 50 basis points above or below the zero percent target. The unexpected announcement triggered risk aversion across the financial markets. Risk demand recovered since then, but waned again ahead of the weekend. As such, US stock markets finished lower on Thursday to come back under pressure following a short-lived rally. The Dow Jones fell 1.05%, the S&P 500 declined 1.45%, while the Nasdaq Composite was 2.18%. Tech shares were among the loss leaders as investors remained concerned that further monetary tightening from the Fed will push the economy into a recession. So far this month, the Dow is down 4.5%, while the S&P 500 and Nasdaq have lost 6.3% and 8.7%, respectively.
23.12.2022
1112
Weekly Review (December 12-16)
STOCKS
Following a positive start to the week, US stocks turned lower as investor sentiment deteriorated. Hawkish guidance from central banks sparked renewed concerns about economic growth and the fuel demand outlook, pushing stocks lower. Adding to economic worries, fresh data showed that China’s factory output slowed while retail sales declined in November amid widespread virus curbs. Wall Street equities finished sharply lower on Thursday as investors were disappointed by fresh economic data out of the United States. The report showed that retail sales fell 0.6% in November versus -0.3% expected, adding to worries about the Fed’s interest rate hikes that are pushing the economy towards recession. The Dow Jones fell 2.25% in its worst day since September. The S&P 500 dropped 2.49%, bringing its decline for this month to t 4.5%. The Nasdaq Composite tumbled 3.23%.
16.12.2022
1151
Weekly Review (December 5-9)
STOCKS
During the week, the overall tone in the global financial markets looked choppy amid a lack of significant drivers and economic data. As such, investors stayed on the sidelines ahead of next week’s major events including key central bank meetings. After negative close on Wednesday, US stocks advanced overnight, but are on pace for a losing week, with the Dow down nearly 2%. The S&P 500 advanced 0.8% after five straight days of losses. The technology-focused Nasdaq Composite gained 1.1%. Meanwhile, US Treasuries held steady after the 10-year yield slid below 3.5% to a nearly three-month low. In individual stocks, GameStop shares rose 11% despite reporting worse-than-expected quarterly earnings. In Asia, Hong Kong’s Hang Seng vastly outperformed its Asian peers for a second consecutive week. The Shanghai Composite added 1.4% this week as China scaled back several COVID-related curbs.
09.12.2022
1126
Weekly Review (November 28-December 2)
STOCKS
Global stocks saw a bearish start to the week as investors were spooked by the news out of China where protests against the government’s strict Covid-19 policies prompted market participants worry over the outlook for the world’s second-largest economy. The next day, trading was uneven as investors closely watch developments in China. On Wednesday, equities snapped three-day losing streak to see broad gains after Federal Reserve Chair Jerome Powell confirmed that the central bank will slow the pace of its aggressive rate-hiking campaign. Overnight, however, Wall Street stocks came under some pressure ahead of jobs data coming ahead of the weekend. On the inflation front, the core personal consumption expenditures price index rose 0.2% in October, slightly below the estimate.
02.12.2022
1127
Weekly Review (November 21-25)
STOCKS After a negative start to the week, Wall Street stocks traded mostly in positive territory. The upside momentum persisted on Wednesday as the Federal Reserve's minutes from its latest meeting calmed investors' worries amid future rate hikes. The Dow Jones Industrial Average rose 0.28%, the S&P 500 gained 0.59%, and the Nasdaq Composite increased nearly 1%. On the data front, jobless claims came in higher than expected at 240,000 for the week ending November 19 versus 225,000 expected. On the other hand, durable goods orders for October were stronger than anticipated, coming in at 1%, more than the 0.5% expected. In Asia, equities were mostly higher as well, even as rising COVID-19 cases in China raised fears of fresh lockdowns. New Zealand's central bank raised interest rates by 75 basis points - its largest ever move. US markets were closed on Thursday for the Thanksgiving holiday and will close early on Friday.
25.11.2022
1178
Weekly Review (November 14-18)
STOCKS Following the recent ascent, stock markets took a pause to trade mostly under pressure during the week, with pressure intensifying recently as Federal Reserve officials signaled their rate-hiking campaign is far from over. Adding to a more downbeat tone in the markets, the United Kingdom outlined fiscal austerity, announcing tax hikes and spending reductions. Markets also saw upbeat labor market data out of the United States where initial jobless claims fell more than expected last week. A separate report showed that US retail sales rose 1.3% in October, the biggest monthly gain since February and better than the 1% expected. As such, Wall Street stocks fell on Thursday while Treasury yields advanced, raising fears higher rates would send the economy into a recession. The Dow Jones slipped 0.02%, the S&P 500 fell 0.31% and the Nasdaq Composite declined 0.35%. The major indexes are all headed for weekly losses.
18.11.2022
1138
Weekly Review (November 7-11)
STOCKS
Global stocks saw mixed-to-positive week, with buying pressure intensifying after fresh data pointed at signs of slowing inflation in the United States. Following the release, Wall Street stocks staged spectacular rally on Thursday, logging their biggest one-day climb in two years. The inflation for October reflected a 7.7% increase over last year and 0.4% increase over the prior month versus 7.9% and 0.5% expected. Excluding volatile food and energy costs, core CPI increased 0.3% for the month, also less than expected. As such, the Dow Jones jumped 3.7%, the S&P 500 rallied 5.54% and the Nasdaq Composite surged 7.35%, its best since March 2020. Elsewhere, China’s October CPI came in at 2.1% y/y versus 2.4% expected, while PPI arrived at -1.3% y/y versus -1.5% expected. Meanwhile, Chinese authorities have lifted their lockdown restrictions for the area around FoxConn iPhone plant.
11.11.2022
1093
Weekly Review (October 31-November 4)
STOCKS Global stocks fell after the Federal Reserve delivered another 0.75% rate hike, and Powell said in that the central bank’s inflation fight was far from done. He also noted that the ultimate level of interest rates will be higher than previously expected and it was “premature” to talk about pausing hikes. The next day, the Bank of England raised rated by 75 basis points, also warning that the UK is in a “prolonged recession”. Against this backdrop, US stocks declined for a fourth consecutive session on Thursday. The Dow Jones Industrial Average slid 0.46%, the S&P 500 lost 1.06%, while the Nasdaq Composite shed 1.73%. In individual stocks, Roku, Fortinet and Fortinet fell on disappointing quarterly results and forward guidance.
04.11.2022
1069