US Equity Markets posted mixed returns last week to wrap up a positive 1H 2024, with potential Fed action and now the Presidential election coming to the forefront in investors' minds. The S&P 500 ticked down 0.1% for the week to finish the first half of 2024 up 14.5%. The Equal Weight S&P 500 dropped 0.8% for the week and is only up 4.1% for the year. The Nasdaq rose 0.2% for the week to close 1H 2024 up 18.1%, while the Russell 2000 (small cap stocks) rallied 1.3% for the week and is now positive for the year, up 1.0%.
Global Equity Markets were also mixed last week, helped by lower-than-expected inflation data out of Europe and a rally in Japan. Developed Markets rose 0.5% for the week to close 1H 2024 up 3.2%. Emerging Markets decreased 0.1% for the week to bring its gains for the year to 6.1%.
US Inflation Data remain elevated but moving in the right direction. The Personal Consumption Expenditures (PCE) Price Index for May rose 2.6% from a year ago, in line with expectations and slightly better than the 2.7% in April. The Core PCE Price Index, which excludes food and energy prices, was also in line with forecasts for May, up 2.6% year-over-year and down from 2.8% in April.
Of Interest to Us
With Q2 2024 corporate earnings reports on the horizon, Wall Street expects growth to accelerate. Current forecasts for earnings per share (EPS) growth for Q2 are 8.8% from a year ago, That compares to 5.9% in Q1 2024. Communications Services (up 18.5%) and Healthcare (up 16.9%) are projected to be the strongest growth sectors in the quarter. Analysts expect revenue growth of 4.6% in Q2 from a year ago vs. 4.3% in Q1 2024, led by Technology (up 9.4%) and Energy (up 8.7%).
Market Data
for the week ending 6/28/2024
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