ClientFirst Financial Strategies
Financial Planning and Portfolio Management
2023 went out with a bang while 2024 came in with a whimper. All three major US stock market indices posted negative returns for the holiday-shortened week. Not sure what the culprit was. In addition, to kick the year off, we are introducing periodic announcements to help inform your financial decisions.
The S&P 500 celebrated its 8th straight week of gains while the other two major US stock market indices rode its coattails. Only the DJIA has broken its previous January 2022 historic high. The S&P 500 and Nasdaq are approaching theirs.
WOW! What a week in the US stock market! All three major US stock market indices posted incredible gains.
All three major US stock market indices didn’t even break 1% combined this week. In fact, the indices haven’t moved much over the past three weeks. What’s going on?
Even after the Thanksgiving break, the three major US stock market indices continued to rise. The difference in the recent rally has been broader participation from companies outside the “Magnificent 7” tech stocks.
It is now three weeks in a row that the three major US stock market indices produced gains. In fact, this recent string marked the largest gains over a three-week stretch since 2020!
For the second week in a row, the three major US stock market indices posted gains. However, in the words of our esteemed business manager, “two data points don’t make a trend!”
After generating losses the past couple weeks, the three major US stock market indices posted their largest weekly gains of 2023. Lower yields may have fueled higher stock prices this week.
The good news is that the economy continues to rock on. The bad news is that the Fed’s resolve may still be to slow economic growth and rein in inflation towards their 2% target.
Interest rates have hit or exceeded 5% for US Treasuries spanning 6-month to 10-year maturities. This has struck investors’ nerves. All three major US stock market indices posted losses for the week.